Monday, February 22, 2016

Monday, February 22, 2016


I'm confused. I have just seen an unbeatable offer on the net - and I need advice. 

The New Nordic Company – ‘live next to a Thai Princess’ – is offering old aged pensioners a 10 per cent a year return on their property investments with it in Pattaya, Thailand.

All you need is 2.5 million Thai baht (US$70,000) and ‘ Kurt’s your uncle’ for that you get an apartment plus minimum of 20,000 Thai baht or US$559 a month in income.

And according to the blurb 20,000 a month is more than enough to retire on in Pattaya.

Actually I am not having a problem with that 10 per cent return figure.

Well put it this way, that’s not the figure I want to deal with right now.

Buyers should however Google the boss Norwegian Kurt Svendheim and employ a top notch lawyer outside of Pattaya.

No, I am wondering how Kurt expects people to live a 'very comfortable life' in Pattaya for 20,000 baht a month. Yes it is possible for Thais to do. 

But for elderly foreigners it certainly is not.

Well for a start Embassies are advising and the Thai government is going to insist on health insurance cover - and that’s going to take a massive chunk out of the 20,000.

So if anyone can design me a budget for living in Pattaya for 20,000 baht –- then I would be grateful.

Oh, and I’ll need somewhere to live because my 20,000 baht will be coming out of rentals for my apartment at New Nordic so I'll have to find somewhere else

So to I’ll need a financial advisor, a health insurance adviser, a nutrionist, and maybe a .44 Magnum.

But I guess I still won’t be able to buy any Magnums of the bottle type to follow the champagne lifestyle of Kurt, whose properties were raided last year by Thai officials (whom I guess were hungering) as one of his lavish parties with Thai girls was under way.

(Interesting people in this video - and this could be heaven to the residents of Hell, Norway, 2 degrees C as I write, but not many pensioners in evidence. They would prefer the Stones or the Animals.

Nor will I be able to attend wild pool parties with Thai and Russian er, good time girls. In the video above are some interesting characters but not many pensioners.

Kurt gets a fantastic press in Pattaya especially from his new friend former Copenhagen gangster Niels Storm Marten Colov, who is the de-facto head of the Pattaya People Media Group. 

Only one newspaper carried the raid (but with no mention of Kurt).

It also has favourable reviews all over the net. He has a first class computer guy on the case.

I mention this because recently I got a call asking would I be kind enough to take a story about the raid mentioning Kurt down from this site. (I do not do take downs unless the story is wrong).

The story here mentioned bankruptcies and a massive Norwegian financial scandal involving Kurt and his partner, which almost brought down a bank.

Above New Nordic Video - and a familiar voice!


(a) Foreign buyers in Thailand and Pattaya should be aware that there are offices with nameboards headed 'Consumer Protection' but they will not function for you.  If there is a fraud involved police will not investigate frauds between foreigners.

(b) Foreigners cannot own property in Thailand apart from condominiums but in that case at least 51 per cent of owner/residents in your condo must be Thai.

(c) The Thai property market and in Phuket, Pattaya, Hua Hin and Ko Samui especially has a reputation as being 'fraud central'.  Scores of projects are being advertised which will not be built.

(d) Beware of extras - such as 'sinking funds'.

(d) Would you want to spend the rest of your life in a 'apartment' of under 30 sq metres? Many units on the market are nothing more than 'short time' rooms.  Good for a single male on holiday - but you might not want to live there. Thais will not buy tiny apartments at the rates offered to foreigners.

(e) Always check that the company you pay your cheques or cash to is the actual owner of the property and not an agent or a company which could fold up at any time. Hundreds of people have been taken in this way. The directors of the other company will be different, but 'same same' as the local saying goes.

(f) Beware of different sets of books. Apartments have been sold many times over to different clients. Consider your property to be a 'virtual property' until you not only have your deed (chanote) but have thoroughly checked it out with a lawyer at the Land Office.

(g) If you are drawing your pension do you have the time or money  or energy to go through the debilitating court process yourself?


Unknown said...

This scam could have worked 5-10 years ago. But people are more aware and less inlclined to be lurd in to this shit. Partly thanks to your writing Andrew. Nice girls and good party vibe., but take it for what it is

Observer said...

Great article, Andrew. Videos reminded me of the phrase "Sell the sizzle not the steak". In this case there was plenty of sizzle and little in the way of streak. Although both videos were professionally produced their selection of interviewer and interviewees in the "unique pool party" made me cringe, not exactly appealing to the average pensioner. As to second video, I got a chuckle on how they could guarantee the 10% return on investment "We are our own property managers and we don't sign long term leases". To make this work they need a near 100% occupancy rate of high paying short term tourists. Not exactly going to happen when there is estimated 60,000 unoccupied apartments in Pattaya. On top of this Pattaya is having one of its worst high seasons in recent times. Forget the Chinese tourists they're not going to stay at the Nordic Group they have their own hotels.

tanmedia said...

That's an annual return of 9.5%....for living in your own property! I suspect that the property is not yours, even if it appears that it is. Even if it is yours on paper, I very much doubt that the capital value can be redeemed for USD70,000 should you "cash in your chips".

Paul Wyatt said...

Anyone guaranteeing 2-3% in current climate needs thorough examination, 10% is just not possible.

beebeepatts said...

I just rode all around Pratumnak Hill on Sunday and there was a staggering amount of "for rent" signs.

Many also included the word "urgent."

A great area to live in though.

Ghost Man said...

Suckers born every minute and it would take one born a few minutes ago to fall for this one. Sad part is sex sells and that's all they are doing to push this crap on people

D. Farang said...

The model's bottom is certainly world-class IMHO. But it's the heart that really counts at the end..

Ally said...

If they're hosting "that type of party" with pensioners in mind I hope they have a heart doctor a viagra vending machine on site and platinum health insurance thrown in.

Unknown said...

I see there's a big puff piece on a certain website's "Pattaya News Clippings" forum...

beebeepatts said...

Not anymore!!! That thread was quickly locked and the comments deleted.

I wonder why? LOL

Tim said...

There was a lively thread on pattaya addicts about this story with various people pointing out how implausible the figures are + reports from people who stayed in the condos only to find unexpected bills on checking out...

The thread has been deleted today. One of the former board mods, another Norwegian formerly linked to the soi 6 nightwish group,is one of Svendheim's lieutenants.

Tim said...

I see New Nordic are now also advertising this prominently on the Stickboy bangkok site. The same guy who makes most of his money from from advertising for Hayward and ultimately the boiler room guys...these sexpats have no shame or ethics...

Inspector Clueless said...

Yes. you can live in Thailand for 20,000 Baht a month but you have to stop drinking (water only) and stop eating.

You'll lose weight, get a tan but keep the Magnum handy you'll need it!

londonbody2body said...


Unknown said...

And another... this time in the Pattaya Forum rather than the "news". No surprise that this one is locked too.

bruce taylor said...

Keeps going around and around...just pity the poor fools who buy into these cons