| Why
Invest in LIR Industrial Park?
1. ROI (Return on Investment)
| 1st 2 years |
No return during
construction phase as any rental income from Phase One
and Two will be re-invested into development of Phase One. |
| 3rd year ++ |
Start to receive rental income
of approximately 1 million baht per year.
This is over 12% annual return on rental income. |
| ~ 10th year |
Rental income averaged over
the first 10 years is 8 million baht or 10% average annual
return on investment. |
| ~11th year |
Investor will receive a minimu
of 12-15% annual interest based on the present rental market
value. It is reasonable to anticipate that as land values
and construction costs rise, that rents will rise as well. |
2. Appreciation
At the close of the construction period
the real estate value of Phase One will be one hundred million
baht at current market value. The investors' 15% ownership will
then be worth 15 million baht or almost double their investment.
The minimal bank loans taken to complete Phase One will be paid
in full within the first five years giving the investor his 15%
of the project with no encumbrances, loans, liens, etc. However,
the value of land, the increrasing costs of construction and
general growth of the Thai economy make it most probable that
appreciation will provide very substantial additional value to
the owners of LIR Industrial Park. Property values in other areas
approximately the same distance from Chiang Mai that have been
developed in recent years have doubled or tripled. This makes
the Lamphun area a prime investment opportunity. LIR Industrial
Park becomes your vehicle to particpate in the economic development
of Thailand.
3. Security
An investment of 8 million baht (approximately US $200,000)
will be backed by real estate with equity at this time of triple
that amount. As the project progresses the real estate value
of the developed property will increase to one hundred million
baht at current market value.
Other Avantages and considerations in investing LIR Industrial
Park are:
- Experience of Lanna Resource International:
- American owners have extensive experience in the Thai system.
- Foreign investors can have peace of mind while developing
location of their own instead of dealing with the local challenges.
- Location:
- 15 minutes to Chiang Mai International
Airport via superhighway.
- 1 km of good roads off the superhighway (main route to
the port at Bangkok).
- 15 km from Chiang Mai.
- Prime Time - Ground Level Investment
Opportunity:
- Opportunity to make substantial gains due to entry at ground
level.
- Opportunity to participate in on other investments as
they materialize with LIR.
- Facilities and Infrastructure:
- Electrical, water, drainage, communications, etc. (far
more cost-effective than trying to improve less expensive
land in the countryside).
- Showroom available on main road.
- Showroom, Accounting, Office and Administrative services
available on shared basis
- Shared containter loading dock provided at no charge (for
smaller spaces without loading dock)
- Adequate roads within industrial park
- Canteen providing Thai food for the convenience of Thai
employees.
- Fork Lift, packing, shipping services available on premises.
- Accessibility:
- Easy access for customers and employees. It is extremely
difficult to find employees willing to travel far or to
inconvenient locations.
- No surcharge from trucking companies in LIR Industrial
Park. There are surcharges for delivering and picking up
containers/shipments from locations off the beaten path
which cause delays as well as constant added operational
and shipping expenses.
- Affordability/Efficiency:
- You can purchase the area of land
that suits your needs instead of having to buy a large parcel
of land (it is rare to find small parcels of land for sale).
LIR feels
strongly that the 15% shareholder will not only realize strong
real estate appreciation combined with reasonable income
for their investment short term, but enjoy the benefits of
the long term opportunities that Thailand represents. It
is in the long term that this investment becomes incredibly
valuable. Thailand, and especially the Northern region know as
Lanna (land of one million rice fields), still represents very
low real estate and construction costs as compared to other developing
nations that have taken the same path and in comparison to the
Bangkok area as well. Of all the areas within Thailand, Lanna
(and specifically the Chiang Mai area) clearly represents the
greatest potential for growth in the near future. To put it simply,
prime real estate in Thailand, properly developed, is a bargain
at this point in time. Chiang Mai is already developing the infrastructure
to become the focal point of the emerging Economic Quadrangle
linking Thailand to South China, Burma (Myanmar), and Laos. Infrastructure
including new roads, bridges, and a new International Airport
are under development. Numerous five-star hotels and resorts
are being built in Chiang Mai in anticipation of what the people
with the knowledge know will take place in the near future.
Real estate values can reasonably be expected to increase substantially.
OWNERSHIP:
We
invite you to join us in LIR Industrial Park. Thai law regulates
that at least 51% of a Thai company must be owned by Thai
citizens, but Thai companies involved in real estate development
must be 61% Thai owned. Since all existing shares in Lanna
International Resource Co. Ltd. are now held by Thai shareholders,
the investor can legally own their shares in their own name
or company name as a foreign investor.
Why Invest with Lanna International Resource?
LIR Industrial
Park is created to assist SMEs and foreign investors. The
combination of Sorn International's strength and knowledge
in real estate and Siam Global's expertise in managing large
scale projects provide LIR with the factors needed for success.
With both owners
(Dan Foxman and Shawn Gann) making Thailand their home, their
western mindset and business experience in the Thai system
are key to assisting foreign companies to invest in Chiang
Mai. Foreign companies traditionally face substantial
challenges working with local landlords and developers and too
often end up with less than they bargained for and/or expenses
substantially over budget. Coping effectively with a deep understanding
of the local culture and business environment requires years
of experience.
Lanna International Resource is your choice partner and developer
to invest in Thailand. The attitude and aspirations of Lanna
International Resource are very much in alignment with the outlook
of its prospective tenants.
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