Ten years ago Pattaya was a forgotten resort. Its name was synonymous with fat German tourists frequenting go-go bars. Somehow in the last three years they city has shucked that image and property developers invested big money into housing estates aimed at the foreign retiree market. Only they forgot one thing.
Foreigners can’t own land in Thailand.
No matter how beautiful.
Of course developers skirted around this barrier by creating companies in which a consortium of Thais entered into a partnership with foreign investors.
A loophole allowing everyone to get rich quick.
Not anymore.
The golden goose’s neck is being cut.
Ominous news came from official sources that investigations of properties in violation of clause 72 of the law governing land ownership shall be undertaken throughout the kingdom.
This drama can unfold in several ways; a total crackdown on foreign owned properties and seizure of their land, a long investigation leading nowhere thanks to donations to well-meaning officials, nothing happens because there isn’t enough man power to pursue the matter, and lastly that bigger fish will wait out the present state of limbo and purchase the developers’ investment at a fraction of the cost.
The future will probably be a mishmash of these possibilities, as Pattaya has been gearing for the influx of hundreds of thousands of wrinklies from Europe.
Where there’s money, there will be a way, however for the moment if any farang says he’s in property then you can laugh in his face.