Shop Rental

[Norfloxacin400 87]

does anyone have any idea what the monthly rent per M2 is on a ground floor 40m2 street front shop on say beach or second road in south or central pattaya?

Edited March 27, 2009 by Norfloxacin400

[vidman 2]

Its not the rental that will kill you ..its the key money that will set you back a fortune. (especially for this area).

 

If you look at distant sois with a lower customer base then you can be anything from 100,000 to 300,000 baht key money and rental maybe as low as 10,000 per month for a unit the size you need.

 

As always in this town, there is every price in between so youll get a dozen more replies with huge variations so its a very difficult question to answer accurately.

[joseph44 0]

Its not the rental that will kill you ..its the key money that will set you back a fortune. (especially for this area).

 

If you look at distant sois with a lower customer base then you can be anything from 100,000 to 300,000 baht key money and rental maybe as low as 10,000 per month for a unit the size you need.

 

As always in this town, there is every price in between so youll get a dozen more replies with huge variations so its a very difficult question to answer accurately.

 

Is there maybe someone who can explain the meaning of "key-money" and its purpose? As ar as my knowledge reaches, it seems like a huge scam to me.

[sailingbill 1,013]

to give favor to owner, a gift to owner of the property

came from chinese culture

to earn out of regular rent.

chinese start this tradition.

Ok i dont know why but im online with my Thai teacher and this was her answer.

Bill

[redwood13 56]

As I understand it key money insures that if the tenant's business fails the landlord isn't stuck with a vacant building producing no income. In the West he would sue and probably destroy the tenant's credit rating but that really doesn't apply here. A farang would usually go back to Farangland if the biz failed. Key money is basically rent in advance to protect the landlord in case of such eventualities.

 

-redwood

[FatherMojo 2]

Also I believe that there are beneficial tax rules to the landowner for key money. I think it might be taxed lower than monthly rent.

 

FatherMojo

[torrenova 644]

Also I believe that there are beneficial tax rules to the landowner for key money. I think it might be taxed lower than monthly rent.

 

FatherMojo

Sure is lower taxed, it is taxed at zero !

 

Please put key money in a brown bag and leave on table.

 

Leases over 3 years have to be registered and that is why you get all this 3+3+3 stuff. Obviously, any lease registered will have the rent registered and they will have to pay tax on it.