faq

Condominiums are available on a freehold basis for both Thai and non-Thai buyers. However, according to current Thai law, non-Thais may only purchase up to 49% of the condominium’s saleable area on a freehold basis. Otherwise, they may purchase any remaining units on a renewable leasehold basis (currently for a maximum period of 30 years as permitted by law).

Lease registration fees and stamp duty (currently 1.1% of the lease premium) is payable to the Land Department upon registration of the lease. The cost of lease renewals will be borne by the lessee according to the contracts.

Freehold registration fees (currently 2.0% of the appraisal price) is payable to the Land Department upon transfer and registration of title. The appraisal price is calculated relative to the government’s tax assessment value which is generally below market value. Other applicable taxes upon transfer and registration of freehold title are:

• Corporate Income Tax (currently 1.0% of the selling price or appraisal price, whichever is higher)
• Specific Business Tax (currently 3.3% of the selling price or appraisal price, whichever is higher)

The burden between seller and buyer for the above costs will be specified in the relevant agreements.

Note: Applicable rates stated are current and may be subject to change.

Yes. Leasehold condominiums may be transferred subject to the terms and conditions of the lease agreement. Generally, a small fee is payable. In addition, the new owner must agree to be bound by the terms and conditions contained in the original lease agreement.

Leasehold ownership is a common method of ownership for foreign buyers. Once the lease is registered at the Land Department, the lessee’s rights over the condominium will be officially recognized.

Approximately 90 days after full payment has been received and construction is complete. We will notify the owner of any documents and fees required for registration.

Our agreements have been used for a number of years and have been reviewed by major international law firms. We have our own in-house legal team which will assist to clarify any questions you may have concerning the agreements. However, should you wish to obtain specific advice regarding the structuring of your investment, we recommend you consult with a professional legal and/or financial adviser.

There are various forms of visas available to foreigners who wish to enter Thailand for study, business, investment, retirement and other purposes ranging from 90 days to 1 year multiple entry which include.

• Education visa when enrolled at registered education institution within Thailand
• Business visa when operating a business or employed
• Retirement visa for people aged 50 years or over and meet financial requirements
• Marriage visa for foreigners married to a Thai
• Thailand Elite Visa - a government led program offering memberships including 5 year visas and other privileges

The development includes two (2) low-rise condominium buildings comprising a total of 193 units (building 1 = 106 units / building 2 = 87 units) situated adjacent to the Cassia Phuket serviced apartment hotel. Units come in one, two and three bedroom configurations ranging in size from 50 – 119 sqm.

Construction can only commence once the relevant government environmental and building approvals are obtained and is estimated to take approximately 24 months to complete from the commencement date.

Yes. A five (5) year building structure warranty is offered from the date of completion of construction. Warranties on materials and furnishings will be subject to a one (1) year warranty.

*Subject to exclusion under contract and law.

Fixed furnishings (wardrobes, kitchen cabinets and built-in kitchen appliances) and landscaping (where applicable) is included. Loose furniture and artworks are not included.

The building must be built in accordance with building code and permits as issued by the relevant authorities so no changes to the external areas or structural items is permitted. Interior design changes may be permitted after handover (subject to developer approval).

Yes, the apartments will be professionally managed. Investment and lifestyle rental options are available. The investment rental program - entitles owners to 30 days stay per year outside of the blackout dates (during the high/peak season periods) in order to maximize rental returns. Apartments in this rental program will be first priority for rental. The lifestyle rental program - entitles owners up to 90 days stay per year including blackout dates (during the high/peak season periods) in order to enjoy a balance between rental returns and lifestyle benefits. Apartments in this rental program will be second priority for rental.

The rental returns paid to owners will be calculated based upon a 40% share of room revenue under the same pool category (the other 60% being retained by the manager to cover operating expenses of the rental program). An example of how the return returns is determined is set out below:

Note: the operation of the rental program is at the discretion of the manager and may be subject to change. The above example is indicative only of how the rental returns will be determined and may not reflect the actual returns achieved.

*** A reserve fund contribution is at 3% on year 1, 4% on year 2, and 5% on year 3 and onwards.

Since the apartments are in a prime location and are professionally managed, there is potential for good rental returns and capital appreciation.

The table below, indicates the potential gross rental yields based upon the assumptions shown:

The figures above are for illustrative purposes only and should not be relied upon as forming a representation or guarantee as to the actual returns which may differ significantly from the above.

Owners will be paid rental returns direct to their nominated bank on a quarterly basis.

All owners are subject to personal / corporate income tax in accordance with the Thai Revenue Code. Rental distributions made to non-resident (foreign) owners and Thai tax resident owners are subject to 15% and 5% withholding tax respectively. Such withholding taxes will be treated as a tax credit for the aforesaid income tax.

Note: applicable tax rates are current at the date of issue of this FAQ and may be subject to changes. The unit owner shall be responsible for any income and any other taxes, duties and fees of whatever nature which may be levied by relevant authorities on the unit in connection with the rental. All unit owners are advised to seek their own tax advice in this regard.

No. All rentals must be conducted through the manager.

No. A standard furniture package will be required in all apartments.

Yes, subject to the terms and conditions imposed under the rental program selected. Blackout dates apply for stays in the investment rental program. However, all reservations by owners for their stays are subject to availability. However, the manager will endeavor to provide a similar apartment for your stay if your apartment is unavailable.

High season periods such as Christmas, New Year, Chinese New Year and Easter.

High season periods are the busiest time of the year. It is during these times when demand is highest and the best opportunity exists to yield maximum rental returns.

Owners should provide as much notice as possible as apartments may be pre-booked with third party guests, particularly for stays during high season periods.

Yes, subject to terms and conditions of the rental agreement (e.g. owners’ guests may be required to be pre-registered with the manager).

No.

For apartments being rented out, these costs will be covered by the revenue share retained by the manager. For apartments being occupied by owners, utilities will be based upon the consumption / costs incurred.

Yes, the apartments will be professionally managed. Investment and lifestyle rental options are available.

The investment rental program - entitles owners to 30 days stay per year outside of the blackout dates (during the high/peak season periods) in order to maximize rental returns. Apartments in this rental program will be first priority for rental.

The lifestyle rental program - entitles owners up to 90 days stay per year including blackout dates (during the high/peak season periods) in order to enjoy a balance between rental returns and lifestyle benefits. Apartments in this rental program will be second priority for rental.

Rental distributions made to non-resident (foreign) owners are subject to 15% withholding tax. Rental earned by Thai tax residents are subject to 5% withholding tax.

Note: applicable tax rates are current at the date of issue of this FAQ and may be subject to changes.

The rental returns paid to owners will be calculated based upon a 40% share of room revenue (the other 60% being retained by the manager to cover operating expenses of the rental program). In addition, 3% of room revenue is held in a reserve fund for future refurbishment costs.

An example of how the return returns will determined is set out below:

Note: the operation of the rental program is at the discretion of the manager and may be subject to change. The above example is indicative only of how the rental returns will be determined and may not reflect the actual returns achieved.

Since the apartments are in a prime location and are professionally managed, there is potential for good rental returns and capital appreciation.

The table below, indicates the potential gross rental yields based upon the assumptions shown:

The figures above are for illustrative purposes only and should not be relied upon as forming a representation or guarantee as to the actual returns which may differ significantly from the above.

Owners will be paid rental returns direct to their nominated bank on a quarterly basis.

No. All rentals must be conducted through the manager.

Yes, subject to the terms and conditions imposed under the rental program selected. Blackout dates apply for stays in the investment rental program. However, all reservations by owners for their stays are subject to availability. However, the manager will endeavor to provide a similar apartment for your stay if your apartment is unavailable.

High season periods such as Christmas, New Year, Chinese New Year and Easter.

High season periods are the busiest time of the year. It is during these times when demand is highest and the best opportunity exists to yield maximum rental returns.

Owners should provide as much notice as possible as apartments may be pre-booked with third party guests, particularly for stays during high season periods.

No. A standard furniture package will be required in all apartments.

Yes, subject to terms and conditions of the rental agreement (e.g. owners’ guests may be required to be pre-registered with the manager).

For apartments being rented out, these costs will be covered by the revenue share retained by the manager. For apartments being occupied by owners, utilities will be based upon the consumption / costs incurred.

No.

The infrastructure and common facilities includes roads and drainage, lighting, landscape areas, swimming pools, deck areas and water and electricity supplies. Services shall include 24 hours on-site security, garbage collection, cleaning and maintenance of infrastructure and common facilities or any other services as required for the common use or benefit of owners. In addition, owners will be entitled to access certain amenities in Cassia Phuket serviced apartment hotel including the shuttle bus service, gymnasium and Beach Club (subject to terms and conditions). The manager of the condominium shall be Laguna (or its designated manager).

The fees for the cost of maintenance for the infrastructure, common facilities, services provided (“common area fee”) and maintenance fees towards other services and facilities supplied to the condominium “non-common area fees’ in aggregate shall be Baht 40 per square metre per month for the initial year and may be subject to change based upon the actual expenses incurred from time to time. The annual fees are determined by the total expenses incurred and proportionately divided amongst the sellable area of the units in the condominium.

In addition, a fund shall be established for the cost of major repairs, replacement and/or improvement for the infrastructure and common facilities (“special fund”). Contributions will be made on a regular basis so that the fund is built up over time. The rate shall be Baht 100 per square metre per year for the initial year and may be subject to change. If the fund balance is not sufficient for the cost of major repairs, owners may be required to pay an additional amount as requested by the manager from time to time.

The cost of water and electricity supplied to individual condominiums shall be based upon metered consumption.

Laguna Property Management and/or Cassia Phuket serviced apartment hotel will provide a full range of property services to individual owners including, pest control, routine and preventative maintenance, general repairs, housekeeping and other reasonable requests. Rates vary according to the frequency and scope of service. In addition, Laguna Rentals provides owners of non-hotel managed residences with the ability to generate a rental income from their property when not in residence with short-term* and long-term rentals (see below).

Yes, for those units managed as hotel residences operated exclusively by Cassia Phuket serviced apartment hotel. Investment and lifestyle rental options are available. However, this would only apply to units located in building 1 of Cassia Phuket Residences condominium. Alternatively, apartments are available for purchase in Cassia serviced apartment hotel.

Yes. If renting on a long-term basis (6 months or more) there are no restrictions and may be done directly by owners or through external agents.

For short-term* rentals of 1 to 6 months, these must be conducted exclusively through Laguna Rentals who provides owners of non-hotel managed residences with the ability to generate a rental income from their property when not in residence with short-term and long-term rentals.

Any short-term* rentals of less than 30 days must be conducted exclusively through Cassia Phuket serviced apartment hotel (which holds the relevant hotel license). Units managed under the hotel rental program require a standard furniture package.

* Terms and conditions apply

Rental distributions made to non-resident (foreign) owners are subject to 15% withholding tax. Rentals earned by Thai tax residents are subject to 5% withholding tax.

Note: applicable tax rates are current at the date of issue of this FAQ and may be subject to changes. The unit owner shall be responsible for any income and any other taxes, duties and fees of whatever nature which may be levied by relevant authorities on the unit in connection with the rental.

Owners will receive membership to the Banyan Tree Group’s signature property owners programme, the Sanctuary Club*, which entitles then to discounts and privileges at Banyan Tree, Angsana, Cassia, Dhawa and Laguna resorts, spas and galleries worldwide including:

• 30% discount on best available rates for hotel accommodation
• 25% discount on food and beverage
• 30% discount on golf green fees
• 20% discount on a-la-carte spa menu
• 15% discount on gallery merchandise
• 15% discount on in-house tours
• 15% discount on laundry
• 10% discount airport and ferry terminal transfers
• Priority wait-list on reservations
• Early check-in / late check-out
• Invitations to pre-openings of new hotels and Banyan Tree Community events

There are 2 options available:

Option 1: 100% payment upon purchase / during construction

1. Concrete structure substantially completed
2. Roof, brickwork and rendering substantially completed
3. 3. Electrical conduits, and pipe work and plastering substantially completed

Option 2: 50% payment upon purchase / during construction with 50% deferred payment over 1, 3 or 5 years

Notes: 1. All amounts are stated in Thai Baht (THB). 2. The above table sets out the estimated payments required under the respective payment plans for selling prices between THB 5,000,000 – 15,000,000. 3. The estimated payments are indicative only and the developer / seller does not accept any responsibility or liability whatsoever for any inaccuracies or omissions. 4. Payment terms are subject to change without notice.