Thailand leasehold: 30 years, the “30+30+30” promise, and what happens after

A foreigner in Thailand cannot own land. That leaves two main routes: an apartment in a condominium within the foreign quota — which is full ownership — or a lease, leasehold. The second route is sold more aggressively, and it is where most of the misunderstanding lies.

What a registered lease is

A long-term lease of property is registered with the Land Department for a term of up to thirty years. A registered lease protects the tenant: it remains in force even if the land changes hands. An unregistered long-term lease gives no such protection — and that is the first thing to check in the document.

The "30+30+30" formula

Sellers almost always talk about renewals: thirty years, then another thirty, then another. Legally it works differently from how it sounds.

• Only the first term is registered — up to thirty years. The later periods exist as a contractual promise to renew.
• A promise to renew is a party's obligation, not a property right. It lives exactly as long as the party that gave it exists and remains solvent.
• If the land changes owner, the new owner is bound by the registered lease, but whether they must honour the renewal promise is a far less obvious question.
• The realistic planning horizon is therefore thirty years, not ninety. Anything beyond that is hope, and the price of the property should reflect it.

How leasehold differs from the condominium quota

• Condominium freehold is full, perpetual ownership of the apartment, registered in your name. There is one limitation: the total area owned by foreigners may not exceed 49% of the building's floor area.
• Leasehold is a time-limited right of use. Reselling it is harder: the buyer acquires the remaining term, and the remainder shrinks every year.
• Pricing should reflect this. The same price for a freehold apartment and a leasehold one is a sign that the premium for the right has not been accounted for.

What to check in the lease

• Registration with the Land Department — not "will be", but done.
• The right to assign and to pass on the tenant's rights: without it you can neither sell the property nor leave it to your children.
• Renewal terms: who is obliged, by when, at what price, and what happens if they refuse.
• Encumbrances on the land — such as the landowner's mortgage.
• Who owns the land and how stable that party is: a shell company in that role devalues every promise.

The practical takeaway

If reliability is the goal, a freehold condominium unit within the quota remains the calmest option in Thailand. Leasehold has its place when the property cannot be bought any other way — a villa with land — but it should be bought at the price of a time-limited right and with a thirty-year horizon, not a ninety-year one.

Based on the lease provisions of the Thai Civil and Commercial Code, the Condominium Act and Land Department practice on registering leases.