frequently asked questions
Q 1.1: Where is Soneva Kiri located? How many villas will be available for purchase?
A 1.1: Soneva Kiri, located on the eastern Thai island of Koh Kood, will offer 21 residential villas in phase one of the development. Our residential villas are set on 2-4 rai (1 to 2 acres) each and will offer configurations of between 4 to 6 bedrooms. All will have beautiful views and designed in one of three styles: Beach, Cliff or Hill Villa. All villas will offer generous master bedrooms, guest rooms, living areas with state of the art entertainment, gym, sauna, steam, spa suite, spacious open bathrooms, pools with water slides and butlers – all in tune with the environment.
Q 1.2: What type of resort development will be associated with my Soneva Kiri villa?
A 1.2: Set to become one of the finest resorts in the world, Soneva Kiri is being developed on 150 acres of untouched lush tropical rainforest and beaches, including a unique Private Island adjacent to the resort. It comprises 42 Resort Villas, overlooking the Gulf of Thailand, plus 21 spectacular Private Residences. There will be three restaurants and numerous leisure facilities. It will feature a Six Senses Spa, retail village and a celebratory pavilion. As with each Soneva property, it is being developed with the principles of ecologically sustainable design and material selection, and with construction methods adapted to protect the environment. Electrical golf carts and bicycles will be the mode of transport within the resort.
Q 2.1: How will my villa purchase be legally structured? Does Soneva Kiri offer freehold land?
A 2.1: With limited exceptions, Thai law does not allow foreigners to acquire freehold land. Foreigners, however, are able to lease land in Thailand, and actually to purchase the building that sits atop the land being leased. Thus, Soneva Kiri will offer you a long land lease, and will allow you to purchase the villa that sits atop the land you are leasing. In order to further protect you in your capacity as a 'Lessee' of the land, you, together with all other Lessees, will have an ownership interest in the 'Lessor', which prevents the key terms of the lease from being amended without your approval. Ownership will be legally structured via a Master Agreement, a Lease Agreement to include lease obligations, easements and regulations, and a Maintenance and Management Agreement.
Villa construction will be legally structured via an Individual Construction Contract with our Contractor and a Construction Management Agreement with a company in our Group who will act as Owner’s representative.
These agreements will, among other things, collectively regulate the management of the villas and landscaping, limit usage to residential use only, establish maintenance fees for common areas of the property, establish easements on roads and paths to facilities and beaches, and create a management relationship with Soneva Kiri resort.
Q 2.2: What are the land lease terms?
A 2.2: Under current Thai law, the maximum term of a land lease is 30 years. However, Soneva Kiri offers you 3 lease extensions of 30 years each. Therefore, the total duration of your lease would be 30+30+30+30= 120 years. Should the laws on foreign ownership alter at any later stage Soneva Kiri will allow the conversion of your leasehold interest into a freehold or a longer registered leasehold interest for no additional consideration (although you would need to pay all legal, regulatory and administrative costs associated with such conversion).
Q 2.3: Does the land lease need to be registered?
A 2.3: Yes, any land lease longer than 3 years must be registered with the local authorities at the Land Department where the property is located. A Lease Registration Fee of 1% and stamp duty of 0.1% of the rental of the land for the first 30 years is then collected by the Land Department, (subject to change by the Land Department). You do not need to be present at the Land Department to register the lease. You may authorize a representative to undertake the registration on your behalf or appoint Soneva Kiri to do so.
Q 2.4: What is the cost of the lease rental? Do we need to pay additional rental fees for the automatic lease renewals Soneva Kiri is offering?
A 2.4: The rental fee will be proportionate to the land size and value. The rental amount will cover the initial 30-year land lease, plus the three 30-year lease extensions. No additional lease rental fees will be required of you. At the time of each renewal, however, the lease must be re-registered with the Land Department. A lease registration fee of 1% and stamp duty of 0.1% of the rental of the land for each 30 years’ period (subject to change by the Land Department), will be payable to the Land Department at the time of each renewal in order to process the registration.
Q 2.5: What is the total purchase price for the villa and the land?
A 2.5: The villa cost will vary depending on the villa selected. Villa pricing begins at USD 4.5 million, and varies according to the villa specifications and location.
Q 3.1: What are other exclusive benefits will I receive by virtue of being a Soneva Kiri villa owner?
A 3.1: You will receive a host of benefits, to use while in residence and while away, as follows: To begin, you have the option of placing your villa in the Rental Programme, as detailed in Sections 4 and 5 below, in order to take advantage of the generous Room Revenue split offered by Soneva Kiri.
Furthermore, while in residence, you will receive 20% off of all Soneva Kiri hotel services including treatments taken at the Six Senses Spa, purchases made at the Six Senses Gallery, and purchases from any of our food and beverage outlets.
Soneva Kiri has its own private plane (a Cessna Grand Caravan), seating up to eight passengers, to transfer you and your guests in style and comfort from Bangkok to your island home. As a villa owner, you will receive one complimentary arrival and departure plane transfer for up to six visits per year subject to our advance scheduling restrictions. Your complimentary transfer will apply for up to eight members of your party (one plane load) traveling together to and from the resort. We will also make complimentary seats available for any additional members of your party on a space available basis on our regularly scheduled hotel guest transfer flights. Should you wish additional confirmed seats, the then current transfer rate shall apply. We expect the transfer rate to be approximately USD 380 per person round trip in the resort’s first two years, provided no significant increases in fuel costs occur.
Soneva Kiri will also purchase and maintain a private boat for the exclusive use of villa owners. Owners will be able to charter the boat at subsidized rates for their excursions while in residence. We intend, and are currently seeking approval, to develop a small marina adjacent to the resort. Villa owners would have the opportunity to rent a berth in the marina for their private boats.
In addition, you will automatically become a member of The Soneva Club, a benefit you can make use of all year, no matter where you are located. The Soneva Club is a private members only club.
Q 4.1: What are the terms of the Rental Programme?
A 4.1: The term of the Rental Programme is 2 years and is renewable at least 6 months prior to the term expiration. In order to join the programme, you must purchase the Soneva Kiri furniture package and agree to abide by the terms of the Rental Programme as detailed herein.
Q 4.2: Is the furniture package included in the villa price?
A 4.2: The furniture package, worth approximately US$100,000, is included in the villa price only for owners who upon purchase, commit to joining the Rental Programme.
Q 4.3: What if we join the Rental Programme initially and then we change our minds? May we opt out of the Rental Programme and use the villa solely for personal use?
A 4.3: Yes, you may do so provided you give us notice in writing at least 6 months before the date you would like to opt out of the Rental Programme, and you agree to honor any bookings already made for the rental of your villa for dates beyond that 6 months period.
Q 5.1: If I join the Rental Programme, how many days per year can I use the villa?
A 5.1: Your villa is yours to enjoy, therefore, our Rental Programme is tailored to your desires. As an owner, you may use your villa for as little or as much time as you like, whether that be 1 week or 11 months. When you are not in residence, you may elect to place your villa in the Rental Programme. Upon enrollment, we will ask you to provide us with a schedule of when you’d like your villa to be included in our inventory over the next calendar year. As mentioned above in Section 4.3, if you change your mind, you may terminate with 6 months prior written notice, and your agreement to honor any previously made bookings.
Q 5.2: What if I want to join the Rental Programme, but I don’t want my master bedroom to be rented out to guests?
A.5.2: That’s no problem. You may choose not to include your master bedroom and/or any of the other bedrooms in the Rental Programme inventory. We will enroll only the bedrooms you make available. Do keep in mind, however, that you would still be required to purchase the furniture package for the entire villa in order to be included in the programme.
Q 5.3: How do I make a reservation? Must I do so in advance?
A 5.3: Upon enrollment in the Rental Programme, we will ask you to provide us with a schedule of when you’d like your villa included in our inventory over the calendar year. Therefore, you are free to use your villa at any other time. We ask that you call or e-mail us, however, to let us know exactly when to expect you so that we can have your villa ready. Should you wish to visit at a time when your villa is included in our inventory, we will do our utmost to honor your request on a space available basis.
Q 5.4: Will I be able to stay at the villa I purchased every time I stay at the resort?
A 5.4: Yes, you will be housed in the villa you purchased so long as you are visiting as expected, and not outside your inventory schedule. If you choose to visit at any other time, then Soneva Kiri will use its best efforts to ensure that you are lodged in your villa as explained in Section 5.3 above.
Q 5.5: If I place my villa in the Rental Pool, how is the revenue from my villa rental split between Soneva Kiri and me?
A 5.5: Soneva Kiri will place 16% of Room Revenue into a Reserve Fund which will cover the expenses associated with the maintenance of villa furniture, fixtures and equipment, and those expenses associated with the rental of your villa like housekeeping, laundry and the daily room amenities provided to villa guests. The remaining 84% of Room Revenue will be allocated between you and Soneva Kiri as follows:
• Until 6% yield: You receive 80% of Room Revenue, and Soneva Kiri receives 20% of Room Revenue
• Above 6% yield: You will receive 40% of Room Revenue and Soneva Kiri will receive 60% of Room Revenue
Q 6.1: May I resell my villa before full payment has been made?
A 6.1: You may resell your villa once all 21 villas available in phase one have been sold by the developer. We would require full payment to be made before a resale can be authorized. The prior approval of the developer, which shall not be unreasonably withheld, is necessary for all resales.
Q 6.2: Would there be any assignment fee for resale of the villa?
A 6.2: Yes, the developer will charge an assignment fee of 3% of the resale price.
Q 7.1: May I modify or change the villa furniture if it is not to my taste?
A 7.1: Those villa owners who elect not to join the Rental Pool may alter their villas to the extent that the alterations do not affect the exterior of the villa itself or the appearance from the exterior.
Q 7.2: Will I need to get the Developer’s approval if I wish to change the exterior of the villa or the landscape design?
A 7.2: Yes, the developer’s written approval is necessary if you wish to modify the exterior of the villa or the landscape design. The approval shall be at the sole discretion of the developer.
Q 8.1: Does the developer offer a construction warranty?
A 8.1: Yes, the developer offers a 1 year construction warranty on the villa, along with a 5-year warranty on the bamboo roofing elements of the villa, if applicable.
Q 9.1: What are the payment terms?
A 9.1: The payment schedule is as follows:
* a 5% deposit is required to reserve a villa;
* an additional 10% is due upon contract execution;
* an additional 30% is due upon 1/3 completion of your villa;
* an additional 30% is due upon 2/3 completion of your villa;
* the remaining 25% is due upon final completion of your villa.
Q 9.2: Will the developer offer villa financing?
A 9.2: No, the developer doesn’t currently offer villa financing, however, we are happy to assist you with securing financing by introducing you to third parties that may do.