Olaf Duensing on The secured lease-is there a better option?-part 1

DUENSING KIPPEN’s presentation on real estate ownership structures in Thailand: “The ‘secured’ lease: is there a better option?” presented 22 November 2013 at the American Chamber of Commerce’s “Current Topics in Real Estate” in Phuket, Thailand. The “secured” lease has been marketed to foreign investors for several years in Thailand but there are several legal issues that it does not address and there is a better option, the “Lease-Mortgage” structure, which was first created and implemented by DUENSING KIPPEN. Olaf explains.

Kibun arose practice areas include dispute resolution arbitration tags mergers and acquisitions real estate corporate commercial and administrative law olaf is a member of the hamburg our association a member of the chartered institute of arbitrators he also sits on the american chamber of commerce thailand’s legal committee and also the tile and tax committee is

Also a board member of the international business association of phuket thank you yes i need dead one and okay can somebody please help me to start this presentation going everywhere ok no problems so you won’t know where we are okay we’re getting the end it was already okay i think yeah it starts um first of all i wanna thank and sign up for hosting this event

Today i also would like to thank jared just help me get out here who organized this event basically end and on behalf of the american chamber little comedy so thank you for that as you can see we have another legal topic here related to real estate and especially relating to structuring of real estate developments and you might be thinking why another legal topic

On that and the investors not already confused enough and why is it necessary to create a new structure on investing in real estate in thailand and i would like to give you some background of my experience over the last 10 years in phuket and what we see here now is maybe last 10 years maybe the first time i’ve seen in the real estate market when i remember the

Time 2004-2005 we had so many transactions it was fantastic but this slow down and we can now discuss what the reasons are for the edge currently is it the economies as the economic crisis is the strong bad or is it even that the investors feel not really secure to invest you in thailand and i cannot do anything about the first two issues about the economy or the

Strong bad but maybe i can find is a legal person as a lawyer can i find structure that is maybe trusting for foreign makes it more interesting before last when lester really stadium toilet so in 2002 when i started killing phuket and they were only two ways of investing in real estate it was a the company way so basically buying a property through a toy company

Or long-term lease and people usually use companies to invest in real estate and if they didn’t want to have a company didn’t want to maintain it they used leases so the least was mostly for people who didn’t want to become an entrepreneur basically for only owning real estate he entitled then it changed and basically the law didn’t change but the application of

The law change and i would say again yes eight years ago slowly thailand started to implement their law and to enforce it basically and made it more and more difficult to invest in real estate through entire company they didn’t take away the real estate from the existing companies if they whatever he was nominated shareholders but what they did is they made it

Increasingly difficult to invest in real estate so at that point of time the focus shifted to the leases so more and more people the force basically to invest into lisa’s and at that point of time people the looking one more in to visit into the 30 plus 30 plus 30 usually sturm that they signed up for and they found problems connected to a little and at that point

Of time you know the investor didn’t feel that secure anymore to invest in real estate and somebody came up with a structure that might overcome that’s feeling that you’re feeling that the investor head and that’s when we are going to start is western secured this zone structure so somebody at that point of time

Transcribed from video
Olaf Duensing on "The "secured" lease-is there a better option?"-part 1 By Duensing Kippen