Ownership of land in Thailand is governed by the "Land Code BE 2497 (1954)", the "Civil and Commercial Code", 'Land Reform for Agriculture Act BE 2518 (1975)" and the regulations set forth by the ministry of the interior.

Although Thai law stipulates that a foreigner may not own land in Thailand in his name, he has the right of ownership of buildings only. If a foreigner wishes to purchase land in Thailand to build a property,
he has 2 options:

1.) The land is purchased on a 30-year leasehold with an possible option to extend the lease for further 30 year periods.    Possession of the land is assured by virtue of the fact that property occupies the land. The leaser cannot seize the property upon expiration of the lease, as the property is separate from the land.

In order to be enforceable, any lease for a period longer than three years must be registered at the land department, which involves payment of a registration fee and stamp duty based on a percentage of the rental fee for the whole lease term. The original registered lease remains in force and effect even if the property is sold. Both parties can contractually agree to renewals, but this right can't be registered at the land department.

2.) If a foreigner is going to operate a business in Thailand then he may purchase the freehold of the land through his in Thailand registered limited company. The land will be owned by the company, not by the individual.

Limited Liability Company:

this form of purchasing property is the most popular with foreign investors as the articles of association can be varied to allow greater protection for foreign minority shareholders where majority Thai ownership is required under the "Alien Business Law".
Thai law requires that 51% of the shares be held by Thai juristic persons, however, any company with more than 40% foreign interest that purchases land will be investigated by the central land office in Bangkok (under section 74 of the Land Code) to ensure that the company has not been organized in an attempt to circumvent the prohibition against foreign ownership of land.

This results in the foreign ownership of the company being limited at 39% (only if buying land), but with the recommended changes of the articles of association, the foreigner can be the only director of the company, and the only person of the company who can commit or bind the company in any contractual dealings (buy or sell land and house), effectively giving the minority shareholders control over the company.