Bangkok, November 22, 2018 – The Apartment Business Trade Association (ABTA) has officially launched, following the rapid growth of the rental housing business, including rental rooms, apartments, and condominiums, driven by economic stimulation and increasing consumer demand for housing. Over 300 rental housing entrepreneurs from across the country came together to establish the association on September 3, 2018, aiming to develop the rental room and apartment business to international standards.

The launch ceremony of the Apartment Business Trade Association was presided over by Ms. Patcharee Satravaha, the association's vice president, amidst members from across the country and media witnesses. The event also featured a forum on the topic "Uniting Strengths: Turning Crisis into Opportunity for Apartment Business in the 4.0 Era", focusing on discussions and sharing business ideas beneficial for entrepreneurs in a highly competitive environment. Experts from four sectors participated, including Ms. Patcharee Satravaha, Professor Rawiroj Amplethir, a renowned real estate businessman and investor, Professor Chinapat Visutthiphat, a lawyer and tax expert, along with a government representative, Mr. Mana Boonsong, the acting director of the Consumer Protection Division, from the Office of the Consumer Protection Board (OCPB), to share knowledge and seek collaboration to ensure mutual benefits under principles of fairness and justice.

Additionally, the event included a seminar and workshop on the topic "Surviving, Growing, and Sustaining the Apartment Business", led by Professor Rawiroj Amplethir, who started his real estate business while still a student and shared insights on adapting to enhance value and income channels for apartments and rental rooms. Professor Chinapat Visutthiphat also lectured on "Understanding the Law: Estate Tax Planning, Passing on to Heirs, and Golden Tax".

Ms. Patcharee Satravaha, Vice President of the Apartment Business Trade Association, stated that the rental room business is crucial today as it directly impacts the economy and consumer spending in the country. Currently, there are tens of thousands of apartment and rental room operators in Thailand, but there has been no formal and clear unification, resulting in a lack of bargaining power or coordination with other public and private sectors. The establishment of this association originated from gathering apartment, room, and condominium operators nationwide to collectively address issues arising from the "Announcement of the Committee on Contracts regarding the rental business for residential buildings as a regulated business", including legal actions in administrative courts, coordinating with the government, and assisting operators affected by this announcement. Once the operators were gathered, the association was formed with the objective of promoting and supporting the rental housing business, fostering unity and good relationships among rental room operators nationwide, enhancing professional knowledge, representing rental room operators in presenting issues and obstacles to relevant public and private agencies, and providing various assistance to members. The association has already conducted several training sessions and seminars on laws related to the business and is preparing to implement many beneficial projects for members, such as a legal consulting project for rental rooms, a database project for suppliers related to the apartment business, and a good tenant-good dormitory project.

Professor Rawiroj Amplethir, a multi-millionaire businessman, who started his real estate business while still a student and currently owns rental properties in the form of condominiums, townhouses, and apartments, stated that the Apartment Business Trade Association will play a crucial role in strengthening the country's economy. The apartment rental business is becoming increasingly risky as the condominium market encroaches on market share, and the interest rates for condominium loans are stabilizing at relatively low levels, making monthly payments comparable to apartment rents. Consumers are thus incentivized to purchase properties such as private condominiums rather than renting apartments. It must be acknowledged that competition in the business is intensifying, and modern rental room and apartment operators must think differently and adapt to new business aspects, leveraging creativity and service as selling points.

Professor Chinapat Visutthiphat, a tax expert, mentioned that one issue apartment operators must prepare for promptly is the golden tax, including changes in land and building taxes and estate tax management for heirs. Operators who adapt and respond to changes early will have an advantage over others, as the rental room and apartment business currently involves various taxes. Without careful tax planning, one may fall behind others.

Moving forward, the Apartment Business Trade Association will continue to operate with a commitment to developing rental business standards in Thailand. In the short term, it will assist operators nationwide facing legal issues related to the business. Currently, the association is accepting three main types of members:

  1. Ordinary members: Individuals or legal entities engaged in the rental housing business, paying the association's membership fee from the date of application until December 31, 2020, totaling 500 THB.
  2. Regular members: Individuals or legal entities engaged in the rental housing business, legally registered, entitled to participate in meetings and propose motions at the annual general meeting, paying the annual membership fee from the date of application until December 31, 2019, totaling 1,000 THB.

* Annual membership fee from January 1, 2020 – December 31, 2020, totaling 1,000 THB*

  1. Associate members: Individuals or legal entities engaged in businesses related to rental housing, paying a membership fee of no less than 6,000 THB per year.

Thank you for the information from Apartment Business Trade Association.