Chandler MHM

Doing Business in Thailand

Chapter 9 - REIT

After the collapse of the Thai property sector in 1996, a contributing factor to the Tom Yum Kung Crisis in 1997, the Thai government attempted to stimulate the Thai economy through the implementation of various strategies. For the real estate sector, the Securities and Exchange Commission of Thailand adapting existing mutual fund regulations which resulted in the establishment of the vehicle called Property Fund for Public Offerings (the “PFPOs”). This initiative not only helped the Thai economy, but PFPOs also became popular financial instruments for investors, and thus enhanced the growth of the Thai property market overall.