Hot Resale At The Golden Tulip - Foreign Quota

[paulyd2k]

yes it`s always split 49/51 and they will not sell to falang if the 49% quota is sold, but am not sure if same after a while as I think some of the villages I had my houses will sell to anybody, but they were 6/8 year old, but you know what it`s like here many rules, but all breakable,555555

[striderman]

the 2 end blocks have now had a base coat. as they have left the centre one alone that would seem to be the new chosen colour scheme

[brutox]

13 hours ago, gusincebu said:

This confuses me a bit ..

If the condo is owned in a company name, isnt it from the original Thai quota, and can be bought by a Thai, in name, without company ?

Sent from my vivo 1713 using Tapatalk
 

Correct, gusincebu .. but, think about this.

As cited elsewhere, for a Thai nominee company to sell a condo to a Thai, the Thai buyer could:

•  Buy the nominee company shares, making it a 100% Thai-owned legal company .. but, to no advantage to the Thai.

As a matter of fact, this is a risk, since companies here easily conceal undeclared trailing liabilities for which the company remains liable regardless of changes in share ownership.

Every asset we bought here was held in a Thai company .. in every instance, we paid the upfront transfer fees and costs to create a new, clean company into which we transferred the asset; or,

•  Buy the asset out of the company and transfer it legally into his name .. the farang seller now bears the expense of closing the illegal nominee company, which in Thailand takes one full year, and involves accounting and legal expenses .. I am uncertain the cost for a simple illegal nominee company, but the costs are significant for a real operating company.

From a practical respective, paulid2k apparently had to wait a bit to find a farang buyer who would take on an illegal nominee structure (and, its contingent liabilities) .. as the illegality of these companies becomes bmore widely known, there will likely be fewer and fewer farang willing to take the risk on these (lucky for paulyd2k ) .. there will always be some innocents out there, but I would not buy into the illegal nominee structure as a reliable exit strategy. 

4 hours ago, paulyd2k said:

yes it`s always split 49/51 and they will not sell to falang if the 49% quota is sold, but am not sure if same after a while as I think some of the villages I had my houses will sell to anybody, but they were 6/8 year old, but you know what it`s like here many rules, but all breakable,555555

Yup, Paulyd2k, all rules here are breakable .. my experience here is that when farang buy into those 'special local practices', they set themselves up as targets.

It all goes swimmingly, until it doesn't .. when the political, or bureaucratic key man that is paid-off to look the other way is swept from authority and replaced by a new sheriff, you are now in the sites of someone who has you dead wrong.

If the new sheriff is a law and order kinda guy (such as local practices allow), your deal is now under a perfectly legal attack.

If the new sheriff is a local practices kinda guy, he then expects to get his taste of the deal .. you can be extorted and will pay twice.

While there are many that are not so visible, the best example I can cite is the ghost building Waterfront Suites and Residences, towering over the Pattaya property landscape .. if there is a more visible warning that shrieks more loudly, I am unaware of it .. (with that hard to miss harbinger of failure, jeez, it's a wonder to me that anyone buys off-plan in Pattaya).

Developers (Thai and farang) take on this risk, knowing they have a limited window within which they are exposed.

There are many other examples how adopting local practices will take a farang into the lowest levels of business hell .. in the Waterfront Suites and Residences case, the military regime summarily discharged former Pattaya Mayor Ittipol, whose administration approved this illegal project, and appointed a non-elected replacement, a naval officer I believe .. apparently more of a law and order kinda guy (again, that is a relative term).

Once caught in those situations, without political cover, farang are defenseless targets, ripe for bleeding out.

Anyone wanting to understand the risks of buying a Thai property off-plan will find the Waterfront Suites and Residences thread the single best case study ..  it's a long read .. but, for good reason .. 

[jasper651967]

1 hour ago, brutox said:

Correct, gusincebu .. but, think about this.

As cited elsewhere, for a Thai nominee company to sell a condo to a Thai, the Thai buyer could:

•  Buy the nominee company shares, making it a 100% Thai-owned legal company .. but, to no advantage to the Thai.

As a matter of fact, this is a risk, since companies here easily conceal undeclared trailing liabilities for which the company remains liable regardless of changes in share ownership.

Every asset we bought here was held in a Thai company .. in every instance, we paid the upfront transfer fees and costs to create a new, clean company into which we transferred the asset; or,

•  Buy the asset out of the company and transfer it legally into his name .. the farang seller now bears the expense of closing the illegal nominee company, which in Thailand takes one full year, and involves accounting and legal expenses .. I am uncertain the cost for a simple illegal nominee company, but the costs are significant for a real operating company.

From a practical respective, paulid2k apparently had to wait a bit to find a farang buyer who would take on an illegal nominee structure (and, its contingent liabilities) .. as the illegality of these companies becomes bmore widely known, there will likely be fewer and fewer farang willing to take the risk on these (lucky for paulyd2k ) .. there will always be some innocents out there, but I would not buy into the illegal nominee structure as a reliable exit strategy. 

Yup, Paulyd2k, all rules here are breakable .. my experience here is that when farang buy into those 'special local practices', they set themselves up as targets.

It all goes swimmingly, until it doesn't .. when the political, or bureaucratic key man that is paid-off to look the other way is swept from authority and replaced by a new sheriff, you are now in the sites of someone who has you dead wrong.

If the new sheriff is a law and order kinda guy (such as local practices allow), your deal is now under a perfectly legal attack.

If the new sheriff is a local practices kinda guy, he then expects to get his taste of the deal .. you can be extorted and will pay twice.

While there are many that are not so visible, the best example I can cite is the ghost building Waterfront Suites and Residences, towering over the Pattaya property landscape .. if there is a more visible warning that shrieks more loudly, I am unaware of it .. (with that hard to miss harbinger of failure, jeez, it's a wonder to me that anyone buys off-plan in Pattaya).

Developers (Thai and farang) take on this risk, knowing they have a limited window within which they are exposed.

There are many other examples how adopting local practices will take a farang into the lowest levels of business hell .. in the Waterfront Suites and Residences case, the military regime summarily discharged former Pattaya Mayor Ittipol, whose administration approved this illegal project, and appointed a non-elected replacement, a naval officer I believe .. apparently more of a law and order kinda guy (again, that is a relative term).

Once caught in those situations, without political cover, farang are defenseless targets, ripe for bleeding out.

Anyone wanting to understand the risks of buying a Thai property off-plan will find the Waterfront Suites and Residences thread the single best case study ..  it's a long read .. but, for good reason .. 

Had a house for 12 yrs through various governments and mayors..no problem selling it as a company. Ok there is a risk but everyone takes risks of one sort or another in everyday life.....business or personal.

[brutox]

48 minutes ago, jasper651967 said:

Had a house for 12 yrs through various governments and mayors..no problem selling it as a company. Ok there is a risk but everyone takes risks of one sort or another in everyday life.....business or personal.

I hear you, jasper651967, I do.

What might surprise the unsuspecting newbie farang is the cost of the failure attending those risks.

In the west, we have some measure of reasonable recourse .. we have a reasonable expectation of equitable treatment, below which a cost of failure will not sink.

But, in Thailand, the cost of failure is often .. all .. of .. it.

In a commercial transaction, that might mean the farang's financial treasure built-up in the business itself.

In a failed personal relationship, that might mean a house, persponal belongoings, or personal wealth .. or, it might mean a man's greatest treasure .. access to his children.

Understanding fully what is at risk changed my view on risk-taking in Thailand, at any level.

Edited October 7, 2018 by brutox

[brutox]

2 hours ago, brutox said:

 

... Anyone wanting to understand the risks of buying a Thai property off-plan will find the Waterfront Suites and Residences thread the single best case study ..  it's a long read .. but, for good reason .. 

 

Lots of citations in this thread .. 25 pages .. 500+ or so posts, some of which are quite instructive .. 

 

 

[usexpat46]

9 hours ago, paulyd2k said:

yes it`s always split 49/51 and they will not sell to falang if the 49% quota is sold, but am not sure if same after a while as I think some of the villages I had my houses will sell to anybody, but they were 6/8 year old, but you know what it`s like here many rules, but all breakable,555555

Around the year 2000 I heard the foreign quota was relaxed due to not enough Thai buyers.  Then after a few years the quota was back.  If that's true then a falang could have been the very first buyer in the complex and then some years after wouldn't have been able to sell his unit to a falang because the complex might still be over 49%.

[Henrik Bejstrup Nielsen]

On ‎10‎-‎02‎-‎2018 at 22:52, wido said:

I did some research on this site: https://www.hipflat.co.th/en/projects/golden-tulip-hotel-and-residence-sxfwyl

and find they sell the condo's in Thai quote at 50,000 m²:

"Grand Avenue Golden Tulip - new luxury residential complex located in Central Pattaya, 500 meters from the beach. The project consist of six 8-storeyed buildings. There are swimming pools, fitness-center, bar, restaurant, tennis, sauna, snooker, tropical garden, kid's playground, parking, CCTV, security, parking, laundry service, taxi-service. Nearby area: 24-hour mini-mart, bars, restaurants, shopping center Avenue Plaza, public transport. It comes fully furnished with one bedroom, one bathroom for 46.81 square meters unit. This unit is situated on the 3rd floor of building A, offered for sale in Thai quota at Very Special price -- 50,000 baht per square meter and be delivered middle of year 2019."

I have paid in foreign quote 75,000, only half furnished. Developer before said it was the same price. i wonder who's selling this at this price. I will figure out.

It does not surprise me that the Thai can buy it cheaper.

I paid 49.000 bath per square meter in Thai quata.

[usexpat46]

53 minutes ago, Henrik Bejstrup Nielsen said:

I paid 49.000 bath per square meter in Thai quata.

When I was looking at new condos, the cost per sq meter increased the higher the floor.  A few of the complexes also had varying rates depending on which side of the building you wanted to buy.

[Henrik Bejstrup Nielsen]

13 minutes ago, usexpat46 said:

When I was looking at new condos, the cost per sq meter increased the higher the floor.  A few of the complexes also had varying rates depending on which side of the building you wanted to buy.

You are completely right, it was so at ex City Garden

[biggles]

"I believe there are many strange things regarding if you die, your family cannot inherit you house/condo, it has to be sold within a year"

Furthermore, you only own 49% of the company asset (the house) so that is all you can leave to your heirs. Friend was horrified to be told this by his lawyer. His Thai nominees also wanted to be financially compensated when he wanted to replace them with his new wife. 

[Oukiva]

4 hours ago, usexpat46 said:

// and then some years after wouldn't have been able to sell his unit to a falang because the complex might still be over 49%.

It's not the case.

Just a remark: I sold this year in foreign-name a unit I bought 10 years before in foreign-name without any problem at the Land office even if the foreign quota in my condo is still over 60%. I remember reading a lawyer explaining that condos acquired during the "foreign quota-exempt period" can keep this right "for ever" as long as they are resold to foreigners.

[jasper651967]

14 hours ago, Henrik Bejstrup Nielsen said:

I paid 49.000 bath per square meter in Thai quata.

Was that for a pool view  ? If so that is a good price. 

[The Danimal]

On ‎10‎/‎4‎/‎2018 at 01:05, wido said:

They ran promos for all floors all views for that price best contact a specialist lawyer.

 

[Henrik Bejstrup Nielsen]

1 hour ago, jasper651967 said:

Was that for a pool view  ? If so that is a good price. 

Top floor (8 floor) and with pool view. I was told that there was only a few they could sell at 50.000 bath/sqm, but I wantet cheaper, so we agreed the 49.000 bath/sqm. I think it´s a very good Price, and I will always be able to sell it Again in that Price.

[The Danimal]

1 minute ago, Henrik Bejstrup Nielsen said:

Top floor (8 floor) and with pool view. I was told that there was only a few they could sell at 50.000 bath/sqm, but I wantet cheaper, so we agreed the 49.000 bath/sqm. I think it´s a very good Price, and I will always be able to sell it Again in that Price.

I agree...I was told the same

[paulyd2k]

a pool view is not all. that unless on first or second floor, if your on the eighth floor you only see the pool if hanging over the balcony,  and on a lower floor it can be so noisy sometimes, if in a big complex,  I know I have owned many types,  had one looking over the sea but rubbish because sun blasting in all day made it so uncomfortable, many things to take into account really for comfy life, and then when you have made your choice you get a noisy horrible twat move in next door,5555555555, T.I.T.... enjoy

[striderman]

painting systems

old school

high tec...............

guess the other chap is the new guy !

 

and a day later................

 

 

[The Danimal]

25 minutes ago, striderman said:

painting systems

old school

looking good

[Scuba+]

looking good

Those condos are so close together, it will be like soi pothole where the Canterbury tales guys sit all day looking in the massage shops

[The Danimal]

24 minutes ago, Scuba+ said:

1 hour ago, The Danimal said:

looking good

Those condos are so close together, it will be like soi pothole where the Canterbury tales guys sit all day looking in the massage shops

they are actually nice inside..way nicer than the Base IMO and a very good location.....there's a good 15 meters or more between buildings...much more room than between houses in most countries in urban areas ….

[wido]

I agree. I stay already 2 years in The Base. Grand Avenue is better location and a way better finishing than it. The Base is very basically and cheap materials.

[likeaking]

Can't get excited about a place that's so close to others, when you look out your window someone is looking back at you and that's your view. Reminds me of the rows of Russian apartment buildings in Russia and a few in Jomtien. 

[wido]

On 7/10/2018 at 20:39, Henrik Bejstrup Nielsen said:

I paid 49.000 bath per square meter in Thai quata.

In resell?

 

On 7/10/2018 at 20:39, Henrik Bejstrup Nielsen said:

 

 

Edited October 12, 2018 by wido

[Henrik Bejstrup Nielsen]

15 hours ago, wido said:

In resell?

 

 

No, by Grand Avenue in september 2017.