BOI Land Ownership: A Rare Privilege for Foreigners

One of the most iron-clad rules in Thailand is that a foreign individual or a majority foreign-owned company cannot own land. However, for investors who need to build a factory, laboratory, or office headquarters, the Board of Investment (BOI) provides a legal exception.

 

The Privilege of Section 27

Under Section 27 of the Investment Promotion Act, a BOI company is permitted to own land for:

• Factory Sites: Building your production lines.
• Office Buildings: Establishing your headquarters.
• Residential Housing: Providing homes for foreign managers and experts (subject to specific square-meter limits).

 

The Usage Rule

This land ownership is "Usage Dependent." You cannot buy land for speculation or as a "land bank." The land must be utilized for the promoted project. If the company ever loses its BOI status or stops the promoted activity, it must sell the land within one year.

 

Why It Matters

Owning the land, rather than leasing it for 30 years, provides massive Asset Security. It allows you to use the land as collateral for loans from Thai banks and gives your board of directors the peace of mind that their 100-million THB factory won't be subject to a lease renewal dispute in three decades.

 

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Related Service: BOI Promotion & Incentives — Legal assistance with BOI land ownership applications and registrations.