Land in Industrial Estate VS Industrial Park - Key Differences

Foreign investors often show interest in acquiring land within industrial parks or industrial estates in Thailand. They commonly use the terms 'industrial estate' and 'industrial park' interchangeably, assuming they mean the same thing. However, there are distinctions between the two.

As a consultant, it is understandable to not immediately correct this misconception as navigating the complexities of business laws in a new country can be challenging. However, as the land search progresses, it is crucial to provide clarity and education to the buyer regarding the rules and criteria that impact the purchasing process and investment project timeline.

Here are some key points that consultants should discuss with buyers:

1] Some businesses may not be eligible for BOI promotion, making them unable to acquire land in industrial parks or general industrial land, as both types of land require BOI privileges. These businesses may need to utilize IEAT privileges and exclusively purchase land in industrial estates, which can accommodate a wider range of businesses and buyers.

2] Purchasing land in industrial parks typically takes longer due to the BOI approval process. Transactions facilitated by IEAT can generally be completed within 2 to 4 months, while BOI approvals often take more than 6 months.

While there are other differences between industrial estates and industrial parks, they are often minor compared to the points mentioned above.

I have crafted an information sheet that compares industrial estates and industrial parks, offering analysis from various viewpoints. While I understand that the format may present challenges for first-time readers, I am open to any feedback or suggestions for enhancing readability. Your input is greatly valued. Thank you! 👍

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