Glossary, buying process

Environmental impact assessment (EIA) in Thai property

การประเมินผลกระทบสิ่งแวดล้อม

An environmental impact assessment is a study of a project's effect on its surroundings that must be approved before construction can start. In Thailand it is required for residential buildings and condominiums with 80 or more units or 4,000 square metres or more of usable floor area.

The requirement comes from the Enhancement and Conservation of National Environmental Quality Act B.E. 2535 (1992). Reports are reviewed by expert committees under the Office of Natural Resources and Environmental Policy and Planning, and no construction permit is issued for a qualifying project without approval. In designated environmental protection zones, which cover parts of Phuket, Krabi, Koh Samui, Pattaya and Hua Hin, tighter rules on height, density and distance from the shore apply, and smaller projects need an initial environmental examination.

For an off-plan buyer, EIA approval is a milestone to verify, not a marketing line. Before approval, the unit count, height, layout and timetable can all still change, and some projects never obtain it. Ask the developer for the approval letter, and check that its date and description match the design being sold.

Approval is not always the end of the matter. Neighbours can challenge it in the Administrative Court, and construction of Bangkok projects has been halted after such cases. The thresholds have also been under review, so confirm the current rule. See the off-plan buying process.

General guidance, not legal or tax advice. Take independent legal advice before you commit to a purchase.

Terms related to environmental impact assessment (eia)

Off-plan: Off-plan means buying a property before it is built or finished, on the strength of plans, a show unit and a contract. The buyer pays in stages during construction and takes title when the building is complete and registered.
Due diligence: Due diligence is the set of legal and physical checks a buyer makes before committing to a property: who owns it, what is registered against it, whether it was lawfully built and whether the seller can deliver what the contract promises.
Sale and purchase agreement (SPA): The sale and purchase agreement is the contract in which buyer and seller commit to transfer a property on agreed terms: price, payment schedule, completion date, specification and who pays which taxes. Ownership passes later, on registration at the land office.