Property&Investment

issue-14-Property-Investment.indd 1 29/7/2552 17:22:57





CONTENTS

Now Is The Best Time To Invest In PattayaWhy? - First of all Pattaya is and will remain a magnet resort city for people wanting to live near the sea, and seeking entertainment, sport or health. That’s why the demand for accommodation will always increase in the coming years. Currently the real estate developers are of-fering great discounts and services in their promotions, and the rise in inflation is caus-ing your money to decrease in value, so leav-ing it in the bank will reduce your financial power. Don’t you think that now is the right time for you to overcome the inflation trap and enjoy the great offerings by developers and secure your money in a world famous resort city by investing in Pattaya’s property market? Take the initiative and secure your funds by in-vesting now in Pattaya, because it is certain that the prices will rise again and the value of your buying power will fall!

Jetzt ist der beste Zeitpunkt, um die In�la-tionsfalle zu vermeiden! Pro�itieren Sie von den besten Angeboten und Discounts der Developer und sichern Sie Ihr Kapital in dieser weltweit berühmten Urlaubsme-tropole.

Самое лучшее время проинвестиро-вать в Pattaya для того чтобы отжать взвинчивание, преимущество взятия от самых лучших рабатов, котор дали проявители и обеспечить вашу деньг в перспективнейшем курортном го-роде магнита.

والعروض الخصومات من وإستفد باتايا في إستثمراآلن الخاصة المقدمة من مطوري العقار، وتغلب على التضخم المالي قبل ان يخفض قيمة رصيدك في البنك، باتايا ستكون

دائما مدينة سياحية جذابة.

Editorial

The New General Manager 8

Sacking An Employee: What Employers Should Know 12

Property News 14

10 Secrets Every Investor Should Know 16

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Pattaya is at a stage where it needs some very experi-enced and forward thinking

senior managers in the tourism industry, so Mr. Michael Procher, who is the new General Manager for both the “Amari Nova Suites” in north Pattaya and “Nova Plati-num” in south Pattaya has plenty of worldwide experience to han-dle multiple management tasks.

He originally studied a combi-nation of geography, economics and politics, but completed an internship as a study tour guide in Europe, which gave him a broad view of the international tourism industry. During his many years of experience in the hospitality industry Michael was involved with river cruise operations, and the buying of hotels in Europe. As

Vice President for a US tour op-erator he was also responsible for product development, marketing and regional accountability for Eastern Europe, Russia, CIS coun-tries, with its catchy river cruise slogan of “unpack once.”

In 20-years in the hospitality in-dustry Michael Procher has col-lected his extensive international

The New General Manager

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experience in Russia, Europe, Central Asia, the Middle East and Africa. At the Djibouti Pal-ace Kempinski Hotel Michael and his teams achieved out-standing results, which peaked in the fact that this luxurious hotel in a small African country is currently the most profitable one in the entire Kempinski group.

As a highly professional ho-tel manager Michael Procher takes on the multiple roles of hotel manager responsibilities. His aims include daily staff training, team building func-tions for his staff, a minimum average for “Nova Platinum” 80% occupancy rate for 2009, greener garden areas, and also building closer relations with lo-cal agents. Furthermore, Michael plans to increase the number of “Nova Platinum” rooms from 192 to 270, with new restau-rants and bars, and conference facilities for up to 120 people. General tourist visitors to the “Nova Platinum” come from Thailand, America, India, Russia, Turkey, Iran, and the Middle East, where Dubai acts as the hub for transport.

Michael Procher is a man of vision with vast hotel experience. One of these visions is to solve most problems in the tourist industry sector, so he will be a valuable asset to Pattaya’s business com-munity, even though he is only a recent arrival.

For reservations please contact 038-711-345 or go to website www.amari.com

Michael Procher -der neue General Manager der „Amari Nova Suites“ in Nordpatta-ya und des „Nova Platinum“ in Südpattaya verfügt über zwanzigjährige Erfahrung in der Tourismus-Branche und in der internationalen Ho-tellerie. Er ist eine wertvolle Bereicherung für Pattayas Tourismus-Industrie.Майкл Прошер, новый ге-неральный директор отеля “ Nova Platinum” в Южной Паттайе, и «Амари Нова люкс» в Северной Паттайе, имеет 20-летний опыт об отелях и туризму по все-

му миру; - Он представляет собой ценное дополнение к туристической отрасли Пат-тайи. «نوفا لـ الجديد العام المدير بروخر ميشائيل رؤية ذو سويتس» نوفا «أمــاري و بالتينم» مجال في كبيرة عالمية خبرة ــه ول واسعة رصيدا سيكون بالفعل وهو والفندقة. السياحة

قيما لمجتمع األعمال في باتايا.คณไมเคล โปรเชอร, ผจดการทวไปของโรงแรม Amari

Nova Platinum โรงแรมในพทยาใตและ Amari Nova Suite

ในพทยาเหนอ มประสบการณกวา 20 ป ทวโลกเก ยวกบการ

โรงแรมและการทองเทยว เขาม สวนเพมการกระตนอตสาหก

รรมการทองเทยวของ เมองพทยา

Akera RatchaviengAssistant Director of Sales

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Under such a bleak eco-nomic climate, it is bad enough for businesses to

have to close and lay off employ-ees. However, employers should not make this worse by exposing themselves to unfair dismissal claims by laid off employees. To minimize the possibility of such claims, employers need to be aware of employees’ legal entitle-ments when terminating employ-ees.

Gross Misconduct?If the employee has committed a gross misconduct, an employer can terminate the employee’s em-ployment without having to pro-vide any prior notice on termina-tion and pay severance pay to the employee. This is also known as termination with cause.

Gross misconduct is serious mis-conduct by the employee e.g. employee having been impris-oned by a final judgment of a

Sacking An Employee What Employers Should Know

court (except for offenses arising out of negligent acts or for petty offenses) or employee performing an act of gross negligence which causes the employer to suffer se-vere losses.

Termination Without CauseGenerally, if the employee’s employment contract had been terminated not due to gross mis-conduct (also known as termina-tion without cause), the employee shall be entitled to the following:

(a) Prior Notice on Terminat-ing Employment ContractPrior notice on terminating the employee’s employment has to be issued by the employer to the employee. Minimum prior notifi-cation period has to be according to that provided for in the employ-ment contract, working rules or notice of the employer.

However, the minimum prior no-tification period must not be short-

er than that prescribed by law. According to the labor protection law, this period must at least be one wage cycle of the employee. For example, if an employee is receiving wages on a monthly ba-sis and the employer issued prior notice on termination to the em-ployee on February 10, 2009. The employee’s last working day will be March 31, 2009, not March 10. The employee’s wage cycle is March 1 to March 31.

(b) Damages In-Lieu (Instead) of Prior Notice on Employ-ment TerminationAlternatively, if the employer wants to terminate the employee’s employment immediately and have the employee leave work, the employer shall have to pay the employee’s wages up to the employee’s last working day and then terminate the employee.

(c) Severance PayThe employer has to pay the em-ployee severance pay. In Thailand severance pay is calculated based on the latest wages amount of the employee and the duration of his or her employment.

Any fixed benefits paid to the employee must be considered as part of wages and be included in severance pay calculation. Fixed benefits are, for example, an em-ployer pays the employee 2,000 Baht every month for traveling ex-penses, regardless of how much traveling the employee did.

Section 118 of the Labor Protec-tion Act B.E. 2541 (1998) pro-

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vides for the amount of severance pay payable to the employee:

If the employee had worked for 120 days but not 1 year, sever-ance pay amount is equivalent to 30 days of wages.

If the employee had worked for 1 year but not 3 years, severance pay amount is equivalent to 90 days of wages.

If the employee had worked for 3 years but not 6 years, severance pay amount is equivalent to 180 days of wages.

If the employee had worked for 6 years but not 10 years, severance pay amount is equivalent to 240 days of wages.

If the employee had worked for more than 10 years, severance pay amount is equivalent to 300 days of wages.

Example of severance pay calcu-lation

XYZ Company Limited employed Mr. B as the employee at a month-ly salary of 10,000 Baht. Each month, XYZ Company Limited also provides 2,000 Baht to Mr. B as his traveling expenses.

Now, after having worked for 2 years and 3 months at XYZ Com-pany Limited, his employment was terminated due to poor per-formance. Mr. B severance pay will be calculated as follows:

10,000 + 2,000 = wages per day

30

=400 Baht

After having worked for 2 years and 3 months, Mr. B is entitled to severance pay equivalent to 90 days of wages i.e. Mr. B had worked for more than 1 year but not 3 years. Therefore, 400 Baht wages per day x 90 days = 36,000 Baht severance pay.

Note: The employer also does not have to give prior notice on

termination or pay sever-ance pay to the employee if the employee completed a fixed period employment contract i.e. an employment contract whereby its employ-ment starting date and end-ing date are clearly specified in the employment contract. (Please see my article “Fixed Period Employment Contract for a Wise Employer” in Pat-taya Mail newspaper Decem-ber 12, 2008 issue for the le-gal meaning of a fixed period employment contract)

(d) Vacation Days Not UsedAny annual vacation days that the employee is entitled to that are not yet used shall be paid to the employee.

Final TipThe employer must bear in

mind that if the employee deemed that he or she had been unfairly terminated by the employer due to whatsoever reasons, even after having received prior notice of termination and severance pay, the employee still has the right to file an unfair dismissal claim against the employer at the Labor Court.

This risk can be minimized by having the employee sign a let-ter of release to waive the right of making any future claims against the employer.

Written by David Tan. David is a Lecturer of Business Law at Asian University and author of the book “A Primer of Thai Busi-ness Law”, available online at www.chulabook.com . In Bang-kok, the book is available at all Kinokuniya and Asiabooks book-stores. Any questions or com-ments to David should be sent to [email protected]

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Sedona Villas For Luxury And Location A group of Thai / American developers are constructing some of the best villas that we have seen, on a quiet country road just off Lake Mabprachan, but very close to the No.131 highway that runs from just north of Pattaya to Rayong. Known as “Sedona Villas,” these are very large homes of around 500 square metres, with luxury 3 – 4 bedrooms, guest rooms, private swimming pools, gardens and every possible modern convenience.

New Developers At Ban Saray At a recent Pattaya Business & Tourism Association meeting some of the early arrivals were three directors from the S-Land Develop-ment Company in Bangkok. After decades of real estate brokerage they have elected to construct around eighteen very high quality villas within a project named “Affinity British.” Their Managing Director Tavit Lertritsumpun, said that his company saw a big potential in the areas south of Pattaya, as the market picked up again in the future.

The Heights Phuket Grand Opening Raimon Land recently hosted a welcome party for residents of The Heights Phuket. Held poolside at the award-winning development, guests enjoyed the spectacular Phuket sunset with drinks and enter-tainment, following the ribbon cutting ceremony by Raimon Land CEO Hubert Viriot.

Budget Condos Defy Market TrendsDespite what real estate brokers may say, the sale of medium – high priced homes has slowed somewhat in line with the world financial situation, but prices have only dropped around 10%, which is a mini-mal decrease. However, the low end of the condominium market is doing very nicely, with developers like Iguana still offering newly con-structed condos from 1-million baht, including furniture on some of their projects. .

Northpoint Construction UpdateThe award-winning Northpoint continues to make good progress in Pattaya. Site clearance and piling works to the "Zone A" landscape area between the front of Tower A and the Wong-Amat beachfront are ongoing, with pile casting for the main pools complete and reinforced concrete slabs now being cast.

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10 Secrets Every Investor Should Know

Most of the time success in busi-ness is the result of what you know. In every industry there are key elements, secrets, that if known will help to insure suc-cess but if not known, will cer-tainly lead to failure. Real Estate investing is no different. Success begins with knowledge. What are some of the critical lessons that

every real estate investor should know? Here are ten of them for starters…

The first secret is probably the most important of all the others using other people’s knowledge. There are only two ways to gain knowledge. Either you gain it from other people`s mistakes or

make the mistakes yourself. If you refuse to learn from other people’s mistakes you are destined to learn from your own mistakes. The se-cret is to learn from others and avoid the pain of learning the hard way.

The second secret is also very important it is the power of con-

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sistently making a lot of quality offers. In order to become a suc-cessful real estate investor, it is ab-solutely necessary to place many offers that, if accepted, will result in great deals. Without offers there can be no good deals and good deals are the basis of success in real estate investing. If you do not ask you will not receive.

Secrets three through seven are the skills that will have to be de-veloped in order to run a success-ful real estate investing business. These skills are:

3. Finding good deals

4. Obtaining the money to pur chase the good deals you find

5. Fixing up the property so that it is marketable

6. Effectively marketing the property

7. Property management

Master each of these skills and real estate investing becomes much easier but fail to develop them and you are in for a rough ride.

Secret number eight is that you must prepare quality offers that have a chance of being accepted. These offers must be high enough so that some of them will be suc-cessful. But they must be low enough so that, when one is ac-cepted, it will result in a substan-tial return on your investment of time and money. This can be eas-

ily accomplished by using some of the effective software on the market today such as Turbo-Bid-der or similar real estate analysis software.

The ninth real estate investing secret is that you must be able to determine the true value of prop-erty. True value is the amount that the property can be sold for in a reasonable period of time. The quickest way of determining true value is by paying a professional appraiser to work their magic. But that is not necessarily the best way. It doesn’t make sense to be pay-ing an appraiser to look at thirty properties when you only expect to purchase one of those deals. That means that you must find an inexpensive way to determine true value. There are professional realtors who work with investors. These realtors can provide accu-rate comparable sales (comps) of similar properties. These comps can give you a very good idea of what a property is worth.

And finally, secret number ten is you need to have a burning desire to become successful. Your at-titude and drive can make up for lots of early mistakes and pitfalls that might sink a lesser person.

Dieser Artikel enthält die 10 wichtigen Geheimnisse, die jeder Investor wissen sollte. Von der Anwendung des Wissens von an-deren zum brennenden Wunsch, erfolgreich zu sein.

В этой статье вы найдете 10 самых главных секретов, кото-рые каждый инвестор должен знать. Пользуясь знаниями других, вы добьетесь своего собственного успеха.

إقرأ في هذا المقال أهم عشرة أسرار التي يجب أن تفهم من قبل كل مستثمر. إبتدا من اإلستفادةالقوية لكي تكون الرغبة الى الغير من معرفة

ناجحا.

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