After a Thai company has obtained a BOI certificate, how to apply to purchase land in Thailand?

Mondo International Updated on 2024-03-07

One of the rights and interests that can be obtained by applying for a Thai BOI allows wholly foreign-funded companies to hold land in Thailand, which is also the core requirement of many investors.

According to the Royal Investment Promotion Act, Be.Article 7 of 2520 stipulates that a company that has obtained investment promotion may hold land in Thailand for the purpose of operating the business it has promoted, and the scale of land that can be held shall be approved by the Board of Investment according to the actual land use required. At the same time, if the foreign investor ceases to operate or transfers the business, he is allowed to resell the land under his name within one year. In other words, after getting the investment promotion card, the company can apply to BOI to hold land in Thailand. The application can be divided into factory construction, auxiliary facility construction, and other purposes

The application materials for the construction of factories are as follows:

1.Application Form F ld lo 022Copy of land ownership certificate 3Copy of BOI certificate 4Plot Plan 5Land Use Design Figure 6Shareholder Schedule 7After the land use test result documents are ready, they will be submitted to the corresponding investment management department, and the approval results will be issued in about 20 working days, and the land holding approval will be obtained.

It is worth noting that the land site selection must be consistent with the information on the BOI certificate, and the land area needs to match the scale of the operating business.

For the land used for the construction of auxiliary facilities, according to the "Office of the Investment Promotion Commission" PAnnouncement No. 10 of 10 2023 allows enterprises that have obtained the promotion certificate to hold land as an office or residence, provided that the following conditions are met: 1) during the period when the approval of holding land ownership for the office and residential investment promotion project is allowed, the paid-in registered capital of the applicant company shall not be less than 50 million baht 2) the residential land of executives or experts, and the land area of each family shall not exceed 100 square meters. The area of each successive plot shall not exceed 1 rai. The land area held per 50 million baht registered capital shall not exceed 1 rai, and the total land area shall not exceed 10 rai. 3) For staff dormitory land, the land area of every 300 staff dormitories shall not exceed 1 rai, the land area held by each 50 million baht registered capital shall not exceed 1 rai, and the total land area shall not exceed 20 rai. 4) If the residential and business premises are not in the same area, the residential land applied for must not exceed 50 kilometers from the business location according to the length of the main road. 5) The clause that allows the holding of land for every 50 million baht of registered capital to hold no more than 1 rai, which is the total land area of the residences of executives, experts and employees. In addition, the BOI Investment Committee Office also allows the transfer of up to 10% of the approved land area to affiliated enterprises, which in this case have the same shareholders or some of the directors hold shares in two enterprises at the same time.

After obtaining the BOI certificate, if the investor chooses to set up a factory in the IEAT Industrial Park, he can also apply to the industrial park to purchase the land in the park.

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