CBRE Thailand’s expertise and experience has been widely recognised by professionals in the property industry. In the past several years, we have won a series of awards such as:
We can advise companies looking at establishing factories, warehouses and logistics centres in Thailand, on where to locate and whether to either purchase or rent industrial properties on industrial estates, parks or green field sites.
We have a full knowledge of land available on industrial estates and parks and a wide range of existing buildings, both for sale and rent. We can also advise companies on build-to-suit solutions.
We can advise companies on incentives provided by the Board of Investment and privileges offered by the Industrial Estates Authority of Thailand, and the advantage of locating in “free zones”.
DISPOSALS
CBRE Thailand also advises companies on the disposal of industrial properties that are surplus to requirements. We can also advise companies on achievable prices and the time required to sell the property.
We arrange marketing campaigns to ensure that properties are fully exposed to all potential purchasers and conduct the sales process in a transparent and professional manner.
Acquisition Costs for Industrial Property in Industrial Estates
There are a number of costs that a purchaser will pay in acquiring a serviced industrial land plot (SILPs) or industrial building.
Legal Fees
Each party will be responsible for the cost of their own legal advice.
Transaction Taxes
These fees are incurred on the day of transfer and are payable at the local Land Department office. There are three fees payable and these are:
Registration of Transfer Fee. This fee is calculated at 2% of the official Government Assessed Value (GAV) of the acquired land.
Stamp Duty or Special Business Tax. Special Business Tax is payable on a sale within 5 years of acquisition and assessed at the higher of 3.3% of the GAV or the purchase price. If the land has been under the same ownership for more than 5 years, Stamp Duty would be payable instead, at the higher of 0.5% of the GAV or the purchase price.
Income Tax or Withholding Tax. Withholding Tax is payable for corporate transactions at the higher of 1% of the GAV or the purchase price. For individual vendors, income tax is payable at the progressive tax rate, calculated according to the GAV.
For industrial properties, normally these fees and taxes are paid by the vendor; in some cases, payment of the transfer fee is decided by mutual agreement between the purchaser and vendor.
Fees of Industrial Estate Authority of Thailand (IEAT)
The purchaser has to complete the IEAT process before transfer of the land title. Purchasers applying for ownership of land must submit the IEAT permission 01/1 form (Application for Land Utilization in an Industrial Estate), and also have to pay a fee of THB 10,000 plus VAT.
IEAT will issue the IEAT 01/2 (Land Use and Operation Permit in an Industrial Estate) to the purchaser.
Bank Guarantee for Electricity Usage and Meter
In case the purchaser would like to take over responsibility for the electricity from the vendor, the purchaser will have to prepare a bank guarantee to replace the vendor’s existing one to secure the power usage and the meter.
