Elran Real Estate is expected to invest $20 in real estate projects in Thailand. The company, owned by Gadi and Dori Dankner, is expanding its activity to Southeast Asia for the first time.
Company officials announced Sunday that they were in advanced negotiations to invest in two Thai companies which own two plots of land on an area of 9 dunam in the resort town of Pattaya.
Elran plans to build two apartment buildings on the land. The company is expected to invest 90 percent of the equity capital required for building the projects (14 million euro), and in exchange will be entitled for half of the profits and for a return of 17.5 percent.
The company is also negotiating an investment in a company which owns a land of 6 dunam on the beach in the island of Koh Samui, where plans are to build a prestigious neighborhood of villas.
Elran is expected to invest 75 percent of the equity capital required for the project ($6 million) and will be entitled for 50 percent of the project's profits and a guaranteed return of 16.5 percent.
Elran Real Estate is the daughter company of Elran Investments (85 percent). The rest of the company is controlled by Izzy sheratzky, who owns the Ituran company, which acquired 15 percent of the company's shares a year ago for 5.25 million euro.
Last October, Elran Investments announced that it was examining the possibility of issuing Elran Real Estate's stocks in the Tel Aviv Stock Exchange.
Elran Real Estate owns the Atlas Estates company, whose stocks are traded in the AIM in London and is active in central and eastern European countries. The company is also a partner in the King City in Eilat and in a residential project in Russia.
Ynetnews
Tuesday, April 17, 2007
Israeli company in advanced negotiations to build two apartment buildings in resort town of Pattaya, prestigious neighborhood in island of Koh Samui
Tuesday, March 13, 2007
How can I buy an apartment, condominium, land or a house in Thailand?
Your Questions Answered
Dear Reader: We have compiled these questions and answers to try and clear up some of the common issues facing foreigners when considering either buying or renting a property in Thailand. If you have a question you feel we might be able to answer, please write in to us and we will put the question to our realty experts in Bangkok, Holt-Realty.com , see their contact details at the foot of this article. Please always bear in mind that with property related issues you need solid professional advice and this will come from a lawyer. Most reputable Real Estate Agents will have access to a good lawyer, so you are well advised to always go to an agent who has quality credentials.
How can I buy an apartment, condominium, land or a house in Thailand?
Although the law does not allow foreigners to own land in Thailand, they can own the buildings on the land. However, there are exceptions: A foreign company may buy land if it has Board of Investment (BOI) privileges and the land is part of the project (usually manufacturing). Ownership is tied very strictly to the BOI terms and conditions agreed with the company. A new law (Land Code Section 96, 2002) allows a foreigner to buy up to one Rai (half an acre) of land to build a house in approved metropolitan areas like Bangkok and Pattaya, providing they also invest at least 40 million baht for five years in government bonds, recognized property mutual funds or BOI projects. Permission for this must be obtained from the Interior Ministry and the ownership is monitored by the Land department. Companies and partnerships also fall under the strict laws on land ownership by foreigners. A foreigner can only own up to 49% of a company and this restricts the ownership of land as well. It is often difficult for even a company with 51/ 49% ownership unless you use an experienced real estate lawyer. This is why Holt-Realty recommends Somphob & Associates Law to all our clients. The Alien Business Law does not allow foreigners to engage in “land trading”.
Can you give me practical advice on the best way to buy property?
There are a number of possibilities and the writers of this column would recommend their own lawyers, Somphob & Associates, who will be able to advise you on the best solution for your needs:
Leasehold: Thai law allows a maximum lease period of 30 years, with the possibility to extend for a further 30+30 years. At the end of each term, both parties must register the renewal with the Land Department and pay government fees, including stamp duty. This gives the lessee “ownership” of the land. The downside is that the Lessor may not wish to renew, or the law may change to your detriment in the future. Any capital you invest into leased property is therefore liable to be lost. In addition, leased land is not easy to trade.
Nominee: You can nominate a Thai to own the property for you. Definitely not recommended. Nominee with a mortgage: You can lend the price of the property to a Thai under a legally executed mortgage or loan agreement. There is a small fee payable at the Land Office to register it. The advantage to this is that the nominee cannot sell the property until the mortgage or loan has been repaid in full. Our lawyers will also set up a Last Will & Testament when they set up this type of transaction so that if the foreigner dies first the mortgage or loan is discharged in full and the Thai can inherit the property. If the Thai nominee dies first the foreigner can inherit the land, but must sell it to a Thai within 12 months. We always recommend that foreigners buying property in Thailand also write a new will to avoid any future problems for the Executors and Beneficiaries.
Freehold: Foreigners can buy and own condominiums Freehold, giving you full ownership rights to buy, sell, trade and bequeath your condominium. However, the law states that foreigners may only own up to 49% of any condominium building. So make sure your lawyer checks this before buying a property. The seller must also provide a document from the Juristic management office stating that the condominium is free from all debts.
Company Ownership: We recommend setting up a company when buying a house, land, or other property that is not a condominium. Our lawyers can help you do this and ensure that you control the property without interference from your nominee Thai partners.
What is the difference between a Lease and Leasehold?
When you rent an apartment, you sign a Lease. Typically, a lease is for a minimum 12 months in Thailand, although some landlords may consider a shorter or longer term. When you sign a lease, you are required to pay a 2 month deposit which is refundable when you move out, less any charges for damage to the property.
There are 2 types of Land Title Deed: Freehold and Leasehold. Leasehold means that the buyer is only leasing the property from the land owner for a pre-determined period of time. Thai law stipulates that a property sold with a Leasehold title deed is only valid for up to 30 years. Renewal for a further 30 years only is at the discretion of the lease holder (land owner). Property owned by the Crown Property Bureau is always Leasehold. Some private property owners may also sell their property with a leasehold title deed. These are the conditions in operation today (2005), but they may change at any time in the future. Obviously, buying leasehold property has its drawbacks.
A Freehold Land Title Deed, on the other hand, gives full ownership rights to purchasers, including the right to buy, sell, or lease the property, pass it on to their heirs, and to develop the property within the guidelines under Thai law. Foreigners may own a condominium freehold; with full rights of ownership. You should always consult a qualified real estate lawyer before signing any purchase agreement.
If I buy property and want to live in Thailand, how can I do that?
You can apply for a visa, depending on the type of residency laws you would like to stay here under. For example, if you plan to buy a property and run a business, you can apply for a business visa. Or if you plan to retire you can apply for a retirement visa. The answers to this question are far too complex to go into here. We recommend you talk to your lawyer about this before buying any property.
What is a condominium? What is an apartment?
A condominium is like a flat (apartment) you can own in common with other owners of units within a high-rise with complete facilities. This means that each tenant is a shareholder in the building and they pay a monthly management fee based on the square meter size of their apartment to maintain the building and public areas. Foreigners may own a condominium freehold; with full rights of ownership. An apartment is a building owned by one owner who lets out units within the building on a short or long-term basis.
How safe is it to live in Thailand?
Thailand has an enviable reputation as a very safe place to visit and to live. The people are friendly, and there is relatively little crime against foreigners. However, like anywhere else in the world, there is always the potential for crime. If our agent feels an area you visit is not safe, he should advise you and suggest alternatives. We all want you to enjoy your stay here! You have probably read the recent news about the Muslim unrest in the three southernmost provinces. The government is working to solve this problem. Despite the rhetoric of a few Muslim hot heads, relations between Muslims, Thais and foreigners throughout Thailand have always been friendly and tension-free. Knowing some of the people involved in security work in the Kingdom, we are confident that Thailand will continue to remain a safe and pleasant country to live in. More....
I have heard there are bad floods here sometimes. Will I have to worry about them?
In the bad old days floods were a problem every year. Some years were worse than others. But since the Bangkok government has installed anti-flooding measure, flooding is not a big problem in Bangkok any more. The drainage system has been upgraded and is well maintained so that even the worst floods will drain away within a few minutes...hours if we have a particularly heavy downpour. If you plan on living outside Bangkok your agent can advise you on the best places to live to avoid the problem.
What about schooling for the children?
Thailand boasts some of the best international schools in the region in all the most highly populated centers like Bangkok, Pattaya, Chiang Mai, and Phuket. Fees are high, but so are their teaching standards. In addition, there are some excellent private Thai schools. Your agent will tell you which schools are located in the area you would like to live.
What is the minimum rental contract, and what are the terms and conditions?
Most rental periods are for one year, although some shorter terms are available. In most cases you will need to pay a 2 month deposit, and one month rental in advance when you sign the contract. Sometimes, especially for longer contracts, the landlord may require 3 months deposit. The deposit is refundable when you move out, although the landlord may deduct expenses for any damage to the property during your tenancy.
Do I have to pay an agent any additional fees for finding me a property in Thailand?
Not usually. The seller or rentor will pay your agent’s fees.
What is the procedure if I buy a Condominium?
The procedure for buying a condo is extremely easy. The first step is to select the property you want to buy and ensure that it has a Chanote (or at least a Nor Sor 3 Gor) freehold Land Title Deed. Your agent will negotiate the best possible price for you and the seller. When you have agreement, ask for a copy of the Land Title Deed from the seller. The buyer pays for the lawyer’s fees. The seller (usually) pays the transfer fees and taxes, as well as the agent’s commission.
Then follow these steps:
Visit your lawyer with the seller and your agent where we will lay out the terms of the deal, and give the lawyer all the documents, including a copy of your passport and bank account details from you, and the land title deed. At this stage, you may be asked to give a deposit to the seller, usually 20% of the purchase price. You will be issued with a receipt that states you will forfeit the deposit if you pull out of the deal for any reason. The seller should be required to repay your deposit in full plus 50% if they pull out of the deal for any reason, or if the land title deed does not clear at the land office. Your agent should ask the seller to allow the lawyer to hold the money in escrow until the deal is completed. Once these arrangements are made we can leave the rest of the work to the lawyer until you are ready to sign the sale papers and pay the purchase price.
The lawyer will prepare a Sales and Purchase Agreement ready for both parties to sign.
The lawyer will send one of his staff to the land office to check that the land title deed is free and clear from any encumbrances, debts, etc. He will advise if there are any problems with the title deed.
Meanwhile, your agent or lawyer will take you to the bank to open a bank account if you don’t already have one. New restrictions have been imposed on foreigners opening bank accounts in Thailand, but your agent should be able to help you overcome these legally.
You will transfer the full cost of the condominium to your bank account, less any deposit you have already paid.
The lawyer will accompany you to the bank when the money arrives to work with the bank to get the proper paperwork required for a condominium purchase.
The lawyer will call another meeting when everything is ready to conclude the deal. You normally meet at his office, sign the papers, and hand over to the seller the cashier’s cheque (or money in whatever form you are paying).
When this is done the lawyer will accompany you and the seller to the land office to complete the transfer of the land title deed to you, the new owner. This should only take a few hours, but it could take up to 4 or 5 days in some circumstances. Don’t worry. Once you and the seller have signed all the sales and purchase papers and handed over the money the property is legally yours and you are fully protected under Thai law.
Contact Us: 4th floor, Dharmala Building Rachadapisek Road Soi 20, Bangkok 10320 Phones: +66 2693 4146, +66 2693 4148, Fax: +66 2693 4147
Ask Marc
Thailand Real Estate Magazine | Issue 52 August 2005
By: Editorial
Copyright © 2005 Thailand Real Estate and Property Guide and Thailand Real Estate Magazine
Dear Reader: We have compiled these questions and answers to try and clear up some of the common issues facing foreigners when considering either buying or renting a property in Thailand. If you have a question you feel we might be able to answer, please write in to us and we will put the question to our realty experts in Bangkok, Holt-Realty.com , see their contact details at the foot of this article. Please always bear in mind that with property related issues you need solid professional advice and this will come from a lawyer. Most reputable Real Estate Agents will have access to a good lawyer, so you are well advised to always go to an agent who has quality credentials.
How can I buy an apartment, condominium, land or a house in Thailand?
Although the law does not allow foreigners to own land in Thailand, they can own the buildings on the land. However, there are exceptions: A foreign company may buy land if it has Board of Investment (BOI) privileges and the land is part of the project (usually manufacturing). Ownership is tied very strictly to the BOI terms and conditions agreed with the company. A new law (Land Code Section 96, 2002) allows a foreigner to buy up to one Rai (half an acre) of land to build a house in approved metropolitan areas like Bangkok and Pattaya, providing they also invest at least 40 million baht for five years in government bonds, recognized property mutual funds or BOI projects. Permission for this must be obtained from the Interior Ministry and the ownership is monitored by the Land department. Companies and partnerships also fall under the strict laws on land ownership by foreigners. A foreigner can only own up to 49% of a company and this restricts the ownership of land as well. It is often difficult for even a company with 51/ 49% ownership unless you use an experienced real estate lawyer. This is why Holt-Realty recommends Somphob & Associates Law to all our clients. The Alien Business Law does not allow foreigners to engage in “land trading”.
Can you give me practical advice on the best way to buy property?
There are a number of possibilities and the writers of this column would recommend their own lawyers, Somphob & Associates, who will be able to advise you on the best solution for your needs:
Leasehold: Thai law allows a maximum lease period of 30 years, with the possibility to extend for a further 30+30 years. At the end of each term, both parties must register the renewal with the Land Department and pay government fees, including stamp duty. This gives the lessee “ownership” of the land. The downside is that the Lessor may not wish to renew, or the law may change to your detriment in the future. Any capital you invest into leased property is therefore liable to be lost. In addition, leased land is not easy to trade.
Nominee: You can nominate a Thai to own the property for you. Definitely not recommended. Nominee with a mortgage: You can lend the price of the property to a Thai under a legally executed mortgage or loan agreement. There is a small fee payable at the Land Office to register it. The advantage to this is that the nominee cannot sell the property until the mortgage or loan has been repaid in full. Our lawyers will also set up a Last Will & Testament when they set up this type of transaction so that if the foreigner dies first the mortgage or loan is discharged in full and the Thai can inherit the property. If the Thai nominee dies first the foreigner can inherit the land, but must sell it to a Thai within 12 months. We always recommend that foreigners buying property in Thailand also write a new will to avoid any future problems for the Executors and Beneficiaries.
Freehold: Foreigners can buy and own condominiums Freehold, giving you full ownership rights to buy, sell, trade and bequeath your condominium. However, the law states that foreigners may only own up to 49% of any condominium building. So make sure your lawyer checks this before buying a property. The seller must also provide a document from the Juristic management office stating that the condominium is free from all debts.
Company Ownership: We recommend setting up a company when buying a house, land, or other property that is not a condominium. Our lawyers can help you do this and ensure that you control the property without interference from your nominee Thai partners.
What is the difference between a Lease and Leasehold?
When you rent an apartment, you sign a Lease. Typically, a lease is for a minimum 12 months in Thailand, although some landlords may consider a shorter or longer term. When you sign a lease, you are required to pay a 2 month deposit which is refundable when you move out, less any charges for damage to the property.
There are 2 types of Land Title Deed: Freehold and Leasehold. Leasehold means that the buyer is only leasing the property from the land owner for a pre-determined period of time. Thai law stipulates that a property sold with a Leasehold title deed is only valid for up to 30 years. Renewal for a further 30 years only is at the discretion of the lease holder (land owner). Property owned by the Crown Property Bureau is always Leasehold. Some private property owners may also sell their property with a leasehold title deed. These are the conditions in operation today (2005), but they may change at any time in the future. Obviously, buying leasehold property has its drawbacks.
A Freehold Land Title Deed, on the other hand, gives full ownership rights to purchasers, including the right to buy, sell, or lease the property, pass it on to their heirs, and to develop the property within the guidelines under Thai law. Foreigners may own a condominium freehold; with full rights of ownership. You should always consult a qualified real estate lawyer before signing any purchase agreement.
If I buy property and want to live in Thailand, how can I do that?
You can apply for a visa, depending on the type of residency laws you would like to stay here under. For example, if you plan to buy a property and run a business, you can apply for a business visa. Or if you plan to retire you can apply for a retirement visa. The answers to this question are far too complex to go into here. We recommend you talk to your lawyer about this before buying any property.
What is a condominium? What is an apartment?
A condominium is like a flat (apartment) you can own in common with other owners of units within a high-rise with complete facilities. This means that each tenant is a shareholder in the building and they pay a monthly management fee based on the square meter size of their apartment to maintain the building and public areas. Foreigners may own a condominium freehold; with full rights of ownership. An apartment is a building owned by one owner who lets out units within the building on a short or long-term basis.
How safe is it to live in Thailand?
Thailand has an enviable reputation as a very safe place to visit and to live. The people are friendly, and there is relatively little crime against foreigners. However, like anywhere else in the world, there is always the potential for crime. If our agent feels an area you visit is not safe, he should advise you and suggest alternatives. We all want you to enjoy your stay here! You have probably read the recent news about the Muslim unrest in the three southernmost provinces. The government is working to solve this problem. Despite the rhetoric of a few Muslim hot heads, relations between Muslims, Thais and foreigners throughout Thailand have always been friendly and tension-free. Knowing some of the people involved in security work in the Kingdom, we are confident that Thailand will continue to remain a safe and pleasant country to live in. More....
I have heard there are bad floods here sometimes. Will I have to worry about them?
In the bad old days floods were a problem every year. Some years were worse than others. But since the Bangkok government has installed anti-flooding measure, flooding is not a big problem in Bangkok any more. The drainage system has been upgraded and is well maintained so that even the worst floods will drain away within a few minutes...hours if we have a particularly heavy downpour. If you plan on living outside Bangkok your agent can advise you on the best places to live to avoid the problem.
What about schooling for the children?
Thailand boasts some of the best international schools in the region in all the most highly populated centers like Bangkok, Pattaya, Chiang Mai, and Phuket. Fees are high, but so are their teaching standards. In addition, there are some excellent private Thai schools. Your agent will tell you which schools are located in the area you would like to live.
What is the minimum rental contract, and what are the terms and conditions?
Most rental periods are for one year, although some shorter terms are available. In most cases you will need to pay a 2 month deposit, and one month rental in advance when you sign the contract. Sometimes, especially for longer contracts, the landlord may require 3 months deposit. The deposit is refundable when you move out, although the landlord may deduct expenses for any damage to the property during your tenancy.
Do I have to pay an agent any additional fees for finding me a property in Thailand?
Not usually. The seller or rentor will pay your agent’s fees.
What is the procedure if I buy a Condominium?
The procedure for buying a condo is extremely easy. The first step is to select the property you want to buy and ensure that it has a Chanote (or at least a Nor Sor 3 Gor) freehold Land Title Deed. Your agent will negotiate the best possible price for you and the seller. When you have agreement, ask for a copy of the Land Title Deed from the seller. The buyer pays for the lawyer’s fees. The seller (usually) pays the transfer fees and taxes, as well as the agent’s commission.
Then follow these steps:
Visit your lawyer with the seller and your agent where we will lay out the terms of the deal, and give the lawyer all the documents, including a copy of your passport and bank account details from you, and the land title deed. At this stage, you may be asked to give a deposit to the seller, usually 20% of the purchase price. You will be issued with a receipt that states you will forfeit the deposit if you pull out of the deal for any reason. The seller should be required to repay your deposit in full plus 50% if they pull out of the deal for any reason, or if the land title deed does not clear at the land office. Your agent should ask the seller to allow the lawyer to hold the money in escrow until the deal is completed. Once these arrangements are made we can leave the rest of the work to the lawyer until you are ready to sign the sale papers and pay the purchase price.
The lawyer will prepare a Sales and Purchase Agreement ready for both parties to sign.
The lawyer will send one of his staff to the land office to check that the land title deed is free and clear from any encumbrances, debts, etc. He will advise if there are any problems with the title deed.
Meanwhile, your agent or lawyer will take you to the bank to open a bank account if you don’t already have one. New restrictions have been imposed on foreigners opening bank accounts in Thailand, but your agent should be able to help you overcome these legally.
You will transfer the full cost of the condominium to your bank account, less any deposit you have already paid.
The lawyer will accompany you to the bank when the money arrives to work with the bank to get the proper paperwork required for a condominium purchase.
The lawyer will call another meeting when everything is ready to conclude the deal. You normally meet at his office, sign the papers, and hand over to the seller the cashier’s cheque (or money in whatever form you are paying).
When this is done the lawyer will accompany you and the seller to the land office to complete the transfer of the land title deed to you, the new owner. This should only take a few hours, but it could take up to 4 or 5 days in some circumstances. Don’t worry. Once you and the seller have signed all the sales and purchase papers and handed over the money the property is legally yours and you are fully protected under Thai law.
Contact Us: 4th floor, Dharmala Building Rachadapisek Road Soi 20, Bangkok 10320 Phones: +66 2693 4146, +66 2693 4148, Fax: +66 2693 4147
Ask Marc
Thailand Real Estate Magazine | Issue 52 August 2005
By: Editorial
Copyright © 2005 Thailand Real Estate and Property Guide and Thailand Real Estate Magazine
Railway Village
Railway Village is a small estate of terraced houses, mostly occupied by farangs, which is situated on the eastern side of the Sukhumvit on Soi Nong Yai 8. So, first, how to get there?
Almost opposite the Bangkok Pattaya hospital is a large temple, this is Wat Nong Yai and it is, of course, situated on Soi Nong Yai which is the small road that runs past its southern boundary wall. Take this road and follow it along for perhaps half a kilometre. A couple of roads run off to the right, then Soi Nong Yai bends sharply, and immediately after this bend another road runs off to the right which bears the street marker of Soi 8. Take this narrow lane, and just before the railway level crossing you will find Railway Village on your right.
There are no prizes for guessing how the estate got its name. The railway runs directly behind the backs of the houses on one side of the estate, and so residents on that side have a certain amount of noise to put up with from passing trains, although I am told that this is not a great inconvenience as there are only a few trains each day and one soon gets used to their passing.
The estate was built some fourteen or fifteen years ago, and there were originally twenty-six houses built on either side of a smallish communal pool. There was also, originally, a barbecue area and a piece of spare ground for residents to park their cars. A few years ago however, the developer, as seems to be the wont with many developers in Thailand, decided that he could squeeze another couple of houses on this space and arbitrarily repossessed the ground. There are then, twenty-eight houses on the estate today. Some are one bedroom, some are two, and there are even a couple of three bedroom places. Railway Village is a cul-de-sac and the roads which run around the estate, in common with many other estates in and around Pattaya, are rather narrow. The repossession of the spare land at the front of the estate means that there can at times be parking difficulties for residents with large cars, but generally people are able to find a suitable spot and village life continues to be fairly harmonious.
I’m told that, when they were first built, the houses sold for around 400,000 baht. Nowadays, usually with some furniture, they fetch 650,000 to 700,000. Those that are rented, usually furnished, carry rents of between 6 and 8000 baht. There is a service charge of 300 baht per month for the upkeep of the communal swimming pool and other services, and a couple of the houses even have pools of their own.
One of the houses at the front of the estate boasts a small shop where some of the necessities of life, like beer, can be bought, and there are other small Thai shops within walking distance down the lane. To live in Railway Village though, some sort of transport is essential if you’re the sort who likes to visit the hot spots in the town or wants to shop in one of the major supermarkets. Television reception is not a problem though, as there is already Banglamung Cable TV on the estate and, of course, UBC is always available for those who can afford the monthly charges.
So - if Railway Village sounds the sort of place where you would like to live, why not give Mr Brian a ring on 038 726519. He lives on the estate and usually has knowledge of which houses are available for rent, or of those that are for sale. Be warned though, the estate is fairly popular -perhaps for its reasonable prices -and houses do not usually remain empty for long!
Thailand Real Estate Magazine | Issue 52 August 2005
By: Randolph Smiles
Copyright © 2005 Thailand Real Estate and Property Guide and Thailand Real Estate Magazine
Monday, March 12, 2007
Pattaya House for Sale
It is getting more difficult by the day to find a buyer for houses in Pattaya. New Thai government regulations and restrictions on foreign ownership have put not just a dampner on the housing market but indeed almost a full stop.
Here we can give home owners an extra avenue to get their message across, and find that elusive person who is actively looking to buy a house in Pattaya, a villa in Pattaya or indeed any type of property in Pattaya
Here we can give home owners an extra avenue to get their message across, and find that elusive person who is actively looking to buy a house in Pattaya, a villa in Pattaya or indeed any type of property in Pattaya
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