Thailand 99-Year Leasehold: No Law Passed, What Investors Should Know
This material was prepared with the help of artificial intelligence. Please check key figures and terms with our adviser.
Responsible for content: Leonid Ustinov, Aster Of Asia Co., Ltd.
Updated 10.10.2026: no 99-year lease law has been passed, and no bill has been submitted to parliament. The existing rule still applies: the maximum registered lease term for property in Thailand is 30 years (Section 540 of the Civil and Commercial Code). The first version of this article presented the reform as a done deal and quoted forecasts of price growth and rental yields. That was wrong, and the text below has been corrected: everything about 99 years is only a scenario in case such a law is ever adopted.
Thirty years. That is the maximum lease term for land and property in Thailand, including for foreigners. The idea of extending it to 99 years is discussed publicly, but there is no bill in parliament, which means there is no timeline and no detail. For anyone buying a villa or an apartment on Phuket, in Pattaya or in Bangkok, the conclusion is simple: assess the deal under the current rules and leave a possible reform out of the calculation.
Quick Answer
- Current limit for leases: 30 years; a contract for a longer term is reduced to 30 years
- Renewal beyond 30 years is not guaranteed by law: the "30+30+30" scheme is an initial lease plus a promise to renew
- 99 years is only an idea under discussion: no law has been passed and no bill has been submitted to parliament
- Land cannot be owned by a foreigner; a building on leased land can belong to the foreigner separately
- A condominium unit can be bought by a foreigner outright (freehold) within the 49% foreign quota of the building's floor area
- A lease longer than 3 years must be registered at the Land Department
Options and Scenarios
Scenario 1: Buying a Condominium Unit Freehold
A foreigner buys an apartment outright within the foreign quota. No land lease is needed: the land belongs to the condominium juristic person. The 99-year discussion does not affect this option. It is the only form of direct ownership available to a foreigner.
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Scenario 2: A Villa on Leased Land
Today the land under a villa is leased for a maximum of 30 years, often with a promise of two renewals of 30 years each. Those renewals are not legally guaranteed: a new owner of the land is bound only by the term and rent of the registered lease, and a renewal option does not automatically pass to them. If a 99-year law were ever adopted, this risk could shrink, but that has not happened, so the deal should be assessed over 30 years.
Scenario 3: Commercial Property and Land Plots
For hotels, retail and offices, the 30-year ceiling limits the planning horizon. A longer lease term could make long-term projects easier, but only once a law is passed and published in the Royal Gazette, Thailand's official journal. Until then, plan any project within 30 years.
Scenario 4: A Thai Company
Structures in which a Thai company with nominee Thai shareholders buys land so that a foreigner controls it are illegal, and both sides bear liability. The 99-year discussion does not change that. If you are considering a company for a genuine business, have a lawyer review the structure before the deal.
Comparison Table
| Parameter | Lease, current law | 99-year lease (idea only, no law) | Freehold (condo unit) |
|---|---|---|---|
| Status | In force | Not passed, not submitted to parliament | In force |
| Maximum term | 30 years | Not defined | No term |
| Renewal | A promise, not guaranteed by law | Unknown | Not needed |
| Property types | Land, villas, commercial, apartments | Unknown | Condo units only, within the 49% quota |
| Inheritance | By default ends on the lessee's death unless the contract says otherwise | Unknown | Passes to heirs |
| Sale, sublease, pledge | Only with the owner's consent | Unknown | Free |
Key Risks and Mistakes
1. Buying in anticipation of the reform. There is no law. Base the purchase decision on what the law and the contract say today.
2. Expecting existing contracts to be extended automatically. If a reform ever happens, it is unknown whether it would cover contracts already signed. No transitional provisions exist today.
3. The "buy now before prices rise" argument. Sellers sometimes use talk of 99 years as a marketing tool. Without a law in force, the argument has no legal weight.
4. Forgetting registration costs. Registering a lease costs 1% of the total rent for the whole term plus 0.1% stamp duty. Without registration, a lease longer than 3 years is protected in court only for the first 3 years.
5. Confusing a lease with ownership. A lease is a personal right, not ownership. You cannot sell, sublet or pledge the leasehold right without the owner's consent.
6. Believing in "guaranteed renewals". Some contracts on the market promise triple renewals up to 90 years. The law does not guarantee such renewals, and a renewal option does not bind a new owner of the land.
FAQ
Has a 99-year lease law been passed?
No. As of 10.10.2026 no such law has been passed and no bill has been submitted to parliament. The maximum registered lease term is 30 years.
Can I, as a foreigner, buy land in Thailand?
No. Direct land ownership by foreigners is prohibited by Thailand's Land Code (Land Code Act B.E. 2497). The discussion about lease terms does not change that.
Does this affect condominiums?
A foreigner can buy a condominium unit freehold within the 49% quota of the building's floor area. If the quota is used up, the seller may offer a lease instead, and the same 30-year limit applies.
Where would a new law apply?
If a law were adopted, it would apply across Thailand. Today the 30-year limit applies nationwide.
Will rental income from a villa change?
Rental income depends on location, the management company, the season and the condition of the property, not on talk of reform. A promise of guaranteed returns is a reason to be cautious.
Can a lease be passed on to heirs?
Not by default: a lease is a personal right and ends on the lessee's death. It can pass to heirs only if the contract expressly says so.
How does the lease term affect resale?
The buyer receives only the remaining term. Fifteen years after a 30-year lease is registered, the next buyer gets 15 years, and that should be factored into how the property is valued today.
Should I wait for the reform before buying?
Waiting for a law with no timeline makes little sense. Plan the deal under the 2026 rules. If you need ownership with no term, consider a freehold condominium unit within the foreign quota.
What documents should I check when leasing land?
The Chanote land title (Nor Sor 4 Jor). Make sure the lessor is the actual owner, check for encumbrances, court disputes and tax debts, and register the lease at the Land Department.
A leasehold decision rests on what the law and the contract say today: a registered term of 30 years, the renewal terms and the clause on heirs. Talk of 99 years has not yet become law. More detail: 30-year land lease and buying a leasehold condo.
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