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A typical situation assembled from practice; details are changed.
The request
A German buyer chose a villa in a developer's project in Phuket. The land came on lease: a 30-year contract plus an agreement for two renewals of 30 years each, which the sales agent called a "99-year lease" and priced accordingly. Before the next stage payment he asked us to check what he was buying.
What we found
A lease can be registered for 30 years at most: a longer term is cut to 30, and each renewal is also capped at 30 years (Civil and Commercial Code s. 540). The Supreme Court voided pre-agreed 30+30+30 renewals in judgment No. 4655/2566, which became widely reported in March 2025: a renewal needs a new agreement made when the term runs out (Addleshaw Goddard, 2025). Thaiger reported on 31 July 2026 that the case concerned a Phuket property, where the tenant had to leave.
For him this meant 30 reliable years against a price built on 90.
| In the contract | What is wrong with it | How we rewrote it |
|---|---|---|
| 30 years plus two renewals of 30 | Pre-agreed renewals do not work | 30 years registered, any renewal by a separate agreement |
| "Automatic" renewal | A promise the law does not protect | A genuine option with terms adjusted at renewal, no guarantee |
| Heirs not named | Sources disagree on whether a lease passes to heirs (ThaiLawOnline, 2026) | Heirs and successors named in the lease |
| Price for "90 years" | He would pay for a term the law does not guarantee | Price and schedule recalculated for 30 years |
Is a 99-year lease coming?
Not yet. A 99-year lease is an idea rather than a law, and the idea has a short history. In May 2025 the then Finance Minister told the Thailand Capital Market Forum that the government was fast-tracking a 99-year amendment to the Rights over Leasehold Asset Act, and by July it was priority legislation (Nation Thailand, 21 July 2025). The Department of Lands consulted from 22 August to 5 September 2025, and after the change of government the proposal stalled. As of September 2026 nothing has gone to Parliament and nothing is in the Royal Gazette (ThaiLawOnline, September 2026). Anyone selling a 99-year lease today is selling a promise, not a right.
What we did
- We compared the contract with the judgment: term, renewals, heirs, rights over the house, registration.
- We told him plainly that only the first 30 years are protected. He decided to keep the villa but to treat it as a 30-year holding.
- We asked the developer to remove "90 years" and "99 years" from the contract and its annexes and to recalculate the price.
- We replaced the automatic renewals with an option whose terms the parties adjust at renewal. It gives no guarantee: every renewal stays a new agreement (Addleshaw Goddard, 2025).
- We checked how he would hold the house. Lawyers most often pair a lease of the plot with superficies over the building, but that is practice rather than a rule, and the source is an agent (Anan Property Group, 2026). A leasehold-asset right (Sap Ing Sith, B.E. 2562) can be transferred, inherited and mortgaged, but is also capped at 30 years (ThaiLawOnline, September 2026). He stayed with the lease and superficies.
- We registered the lease and the superficies at the Land Department.
The result
The lease is registered for 30 years. It has no automatic renewals but does have an option, his heirs are named, and the price reflects the real term. The developer agreed to change the wording and gave way on price only in part. He bought the villa knowing that he should plan for 30 years. Had the developer refused to change the contract, the decision would have stayed with the buyer. Our sources do not confirm how the Phuket land office registers such rights for a foreigner, so we check the procedure with the office. Renewal is not guaranteed for him or for anyone else.
The takeaway
Value a lease as 30 years, and treat anything promised beyond that as a separate risk.
How we handle a leasehold purchase is on the page Buy a leasehold villa in Phuket. The ruling in detail: The 30-year lease ruling: what a 30+30+30 promise is worth now, and the wider comparison: freehold vs leasehold in Thailand. If the villa sits on a company instead, see the case Villa on a nominee company.
Rules are as of 6 October 2026.
