Best Commercial Real Estate Lawyers in Thawi Watthana

About Commercial Real Estate Law in Thawi Watthana, Thailand

Thawi Watthana is a western Bangkok district with a mix of low density residential neighborhoods, agricultural plots, logistics hubs, retail corridors along major roads, and low to mid rise commercial buildings. Commercial real estate here typically involves land with full title deeds, warehouse and light industrial sites, shophouses, community malls, and office spaces. Transactions and developments are governed by national Thai laws applied locally through Bangkok Metropolitan Administration procedures and the Land Office with jurisdiction over Thawi Watthana. Because Bangkok has a formal city plan and building control regime, land use, density, and permits are central to feasibility, valuation, and risk allocation.

This guide explains the basics of buying, selling, leasing, financing, and developing commercial property in Thawi Watthana. It is general information only and not legal advice.

Why You May Need a Lawyer

Commercial property deals in Thawi Watthana often involve complex title verification, land use checks, tax planning, and contract structuring. You may need a lawyer when you are negotiating a long term lease for a warehouse or retail space, acquiring land or a building for redevelopment, conducting due diligence on title, boundaries, and encumbrances, verifying zoning and permissible uses, applying for building or renovation permits, handling environmental or EIA triggers for larger projects, structuring foreign participation or BOI promoted projects, drafting and registering leases, usufructs, superficies, mortgages, or servitudes at the Land Office, allocating risks like flooding, access, or infrastructure changes, managing tenant fit out, security deposits, key money, assignment and sublease rights, resolving rent, maintenance, or construction disputes, and planning transfer fees, stamp duty, withholding tax, and ongoing land and building tax.

Legal counsel helps align your commercial objectives with local law, reduces regulatory and title risks, and negotiates enforceable documents that protect your position throughout the life of the project or lease.

Local Laws Overview

Title and registration. Most commercial plots in Bangkok hold full title deeds called Chanote. A title search at the Land Office confirms ownership, boundaries, and encumbrances like mortgages, leases, servitudes, or seizure orders. Deals that create or transfer real property rights must be recorded at the Land Office to bind third parties. Leases over 3 years must be registered to be enforceable against third parties.

Land ownership and foreign participation. Under the Land Code, foreign individuals and most foreign majority companies cannot own land. Common alternatives include long term leases up to 30 years with possible renewal, registered rights such as superficies for building ownership separate from land, or BOI or IEAT privileges that can permit land ownership for specific promoted activities. Condominiums are governed by the Condominium Act and have separate foreign quota rules, but that regime is less common for purely commercial premises.

Leases and commercial use. The Civil and Commercial Code governs leases. Maximum lease term is 30 years for commercial and residential property. Renewal options typically require a new registration in the future to bind third parties. If a lease term exceeds 3 years, it must be registered. Lease registration attracts a government fee of 1 percent of the total rent payable over the term and stamp duty of 0.1 percent. Many commercial leases also address fit out works, handover condition, rent free periods, CAM charges, utilities, assignment and subletting, personal guarantees, insurance, compliance with laws, and early termination.

Zoning and planning. Bangkok’s city plan and zoning regulations under the City Planning Act and Bangkok ordinances designate allowable uses, floor area ratios, height limits, and setbacks. Thawi Watthana contains zones for residential, agricultural, and commercial or industrial compatible uses. Before signing, confirm that your intended use, parking supply, access and egress, and density comply with the current plan and any special local controls.

Building control and permits. Construction, alteration, change of use, signage, and fire safety are regulated by the Building Control Act and Bangkok building regulations. Most commercial work requires a permit from the District Office of the Bangkok Metropolitan Administration. Licensed engineers and architects commonly prepare plans and supervise works. Fit out in retail and warehouses often needs landlord consent and sometimes fire authority clearance.

Environmental and EIA. Larger projects such as certain malls, large warehouses, or projects in sensitive zones may require an Environmental Impact Assessment under Thai environmental law. Even without EIA, projects must manage wastewater, noise, and waste in line with environmental regulations. Flood risk management is a practical issue in parts of Thawi Watthana due to low lying areas and nearby canals, so drainage and flood mitigation are important in design and lease risk allocation.

Licenses for operations. Some businesses require additional licenses at the premises such as hotel, factory, restaurant, alcohol, entertainment, or warehouse customs bonded approvals. Foreign majority operators must also comply with the Foreign Business Act for restricted service categories unless a license or BOI promotion applies.

Financing and security. Mortgages over land and buildings are registered at the Land Office. Mortgage registration involves a government fee commonly 1 percent of the secured amount plus stamp duty at 0.05 percent, subject to applicable caps and updates. The Business Security Act allows security over business assets like receivables and inventory, registered with the Department of Business Development. Lenders often combine mortgage and business security for project finance.

Taxes and fees. Common items include transfer fee at 2 percent of the Land Department appraised value on sales, specific business tax and local tax on certain sales by companies, withholding tax on sale proceeds or rent, stamp duty on certain documents, and the Land and Building Tax assessed annually based on use and value. Commercial leases may be subject to VAT depending on the landlord’s VAT status and the nature of the lease. Tax treatment varies by buyer or seller profile, so tailored tax advice is recommended early in the deal.

Dispute resolution. Thai courts have jurisdiction over real estate disputes involving land in Thailand. Commercial parties sometimes include arbitration clauses. Interim measures and registration of injunctions affecting land use or transfers are possible through the courts when justified.

Public interest and expropriation. Government agencies can expropriate land for public works under Thai law with compensation. Infrastructure improvements can both increase value and impose constraints, so verify planned roads, rail, utilities, and right of way reservations affecting Thawi Watthana sites during due diligence.

Frequently Asked Questions

Can a foreigner buy commercial land in Thawi Watthana

As a general rule, foreign individuals and foreign majority companies cannot own land in Thailand. Options include leasing up to 30 years, obtaining a right of superficies to own buildings on another’s land, pursuing BOI promoted status that can permit land ownership for eligible projects, or partnering with a Thai majority entity. Every structure has trade offs in control, financing, and exit, so obtain early legal advice.

How long can a commercial lease be and how is it made enforceable

Commercial leases can be granted for up to 30 years. Any lease longer than 3 years must be registered at the Land Office to be enforceable against third parties. Renewal options usually require entering into and registering a new lease in the future to bind successors.

What due diligence should I do before buying or leasing

Conduct a title search to confirm ownership and encumbrances, review the cadastral map and boundary survey, verify zoning and permitted use, assess building permits and construction compliance, review utility access and road frontage, check for environmental issues and flooding risk, confirm any existing leases or tenancies, and model taxes and fees. For built assets, review structural and MEP condition and fire safety systems.

What are the typical government fees and taxes on a commercial lease

Lease registration at the Land Office is subject to a 1 percent registration fee on total rent payable over the whole term and stamp duty at 0.1 percent. VAT may apply depending on the landlord’s VAT status and the nature of the lease. Parties also incur translation, notarial, and professional fees.

What permits are needed for fit out or renovation

Most structural works, change of use, significant interior works, or signage require a building permit or notification to the Bangkok Metropolitan Administration District Office. Plans by licensed professionals and landlord consent are commonly required. Fire safety compliance, including egress, alarms, and extinguishers, is checked during permitting and inspection.

How do I confirm that a site can be used for my planned business

Check the Bangkok city plan zoning for the plot, applicable floor area ratio, height, setbacks, parking ratios, and any special area controls. Then confirm whether your business requires special licenses or is restricted under the Foreign Business Act. A planning and licensing memo from counsel before signing is standard practice.

Who owns improvements and fixtures installed by a tenant

Under Thai law, buildings and fixtures generally become part of the immovable property. Leases typically state which items are tenant removables and which must remain, how reinstatement works, and whether the landlord must compensate for improvements. Clear drafting is essential to avoid disputes at expiry.

Can I assign my lease or sublease space

Assignment and subletting are not automatic rights. They depend on the lease terms and landlord consent, and certain assignments require Land Office registration to be effective against third parties. Many landlords allow subletting only with prior written approval and compliance with building rules.

What financing options are available for commercial property

Local banks offer mortgages to Thai entities and sometimes to foreign invested companies with strong collateral and cash flow. Security usually includes a registered mortgage, assignment of lease or rents, and business security over receivables. For leasehold projects, lenders assess lease term remaining and step in rights. Financing terms vary widely based on sponsor profile and asset quality.

What happens if there is a dispute during construction or the lease

Parties can resolve disputes through negotiation, mediation, arbitration, or court. Well drafted contracts include escalation steps, timelines, and remedies for delay, defects, rent abatement, and termination. For urgent matters, courts can grant provisional measures. Keep detailed records of notices, inspections, and payments to preserve rights.

Additional Resources

Department of Lands and the Land Office with jurisdiction over Thawi Watthana for title searches, registrations, and cadastral maps.

Bangkok Metropolitan Administration District Office for Thawi Watthana for building permits, inspections, and local compliance.

Bangkok Metropolitan Administration Department of Public Works for building control standards and approvals.

Office of Natural Resources and Environmental Policy and Planning for EIA procedures and environmental guidelines.

Board of Investment for investment promotion that can affect foreign participation and land ownership in specific sectors.

Revenue Department for guidance on VAT, withholding tax, and land and building tax compliance.

Department of Business Development for company registrations and business security filings.

Treasury Department for official appraised values used in fee and tax calculations.

Engineering Institute of Thailand and Council of Engineers for information on licensed professionals and technical standards.

Thai Arbitration Institute for information on arbitration procedures commonly used in commercial contracts.

Next Steps

Clarify your objective and constraints. Define whether you are buying, leasing, or developing, your target location within Thawi Watthana, budget, timing, and operational needs like floor loading, clear height, parking, and utilities. This informs legal structuring and due diligence scope.

Engage local counsel early. Ask for a scoping call and a preliminary risk map covering title, zoning, permits, and taxes. Request a checklist of documents required for title searches, company approvals, and Land Office registration.

Commission feasibility and due diligence. Instruct title searches, site surveys, planning checks, and technical inspections. For larger projects, obtain an environmental screening to determine if EIA applies. Align legal findings with design, cost, and schedule.

Negotiate heads of terms carefully. Include conditions precedent, timelines, deliverables, access for due diligence, allocation of taxes and fees, and termination rights. Ensure exclusivity or break fees as appropriate.

Draft and register the right instruments. Have your lawyer prepare Thai and bilingual versions of sale and purchase agreements, leases, superficies, servitudes, mortgages, guarantees, and management agreements as needed, and manage Land Office registration and stamping.

Plan tax and corporate approvals. Obtain board and shareholder approvals, structure VAT and withholding tax compliance, and set up invoicing and accounting for rent, CAM, and utilities. Confirm land and building tax classification after closing.

Prepare for operations. Implement insurance, fire safety, building rules, fit out permits, and contractor appointments. Set up dispute and change control procedures to keep the project on track.

Document everything. Keep copies of title documents, surveys, permits, inspection reports, tax receipts, and Land Office registrations. Accurate records support financing, operations, and exit.

If you need legal assistance now, gather basic information about the property or space, your company details, any draft contracts received, and your target timeline, then contact a Thai commercial real estate lawyer to request an initial consultation and a fixed fee or staged proposal.

This guide is informational only and does not create a lawyer client relationship. Laws and fees can change, and local practice can vary within Bangkok. Obtain tailored advice before you commit to any transaction.