5 Typical Scams in Factory and Warehouse Rentals

 5 Warehouse and Factory Rental Scams

5 Typical Scams in Factory and Warehouse Rentals

Recently, entrepreneurs and business owners are preferring to rent factories and warehouses rather than owning these properties themselves. With many prominent benefits, such as lower capitals required and more flexibility to meet the changing business demands, companies choose renting as they expand and relocate their operations.

Unfortunately, however, various scammers can exploit some benefits from the rent and the rental deposits. Therefore, in this article, we hope to share the light in assisting you with precautions against these cheats before renting a factory and warehouse. We will present the various ways scammers used to deceive people and how you can avoid them.

5 Typical Scams in Factory and Warehouse Rentals

1. Do not believe in the photos. You must visit the actual location.

Beware of These 5 Warehouse and Factory Rental Scams

Nowadays, we can conveniently search the web to find a rental factory or warehouse. The scammers will use fake or distorted pictures to deceive people. For example, they would use phony images to lure people for deposit payments, even though they are not the owners of these properties. In other cases, they may edit the images to look too good than in reality, or they may use pictures of other buildings. Therefore, it is advisable that after you have searched the web and shortlisted your desired rental properties, you must visit the actual site.

Moreover, it would help if you spent the time to visit the rental factory and warehouse 3 to 4 times to explore its suitability to your operations. You should thoroughly examine the property and its functions. Also, you should consider other crucial elements, such as its size, layout, type of construction permission (in case you have to apply for factory licenses and BOI), transportation convenience, cleanliness, safety, and creditability of the landlord. You must wholly evaluate these factors before signing the rental contract and pay the deposit.

2. When the rental rates that are too low, beware.

Scammers tend to lure people looking for factories and warehouses for rent with unrealistic prices. This method rushes business people to accelerate their decision-making process and gullibly agrees to pay the rent and deposit.

A simple way to check if your interested property has an overly underestimated price is to investigate the rental costs of the other properties in the area. You can quickly determine the average price range and formulate your judgment. When the rental price is much lower, you should review the information thoroughly before signing the contract and pay the deposit. Finally, if you do not have the expertise in contracting or feel hesitant about the intended property, it is best to consult a lawyer who can assist you.

3. Scammers may pretend to be the owners of bank seized properties.

Beware of These 5 Warehouse and Factory Rental Scams

In many instances, the scammers would impersonate as the owners of rental properties. The banks have seized ownerships of factories and warehouses and still cannot attain the new owners of these properties. The con artists would pretend ownership of these properties, use this time frame to offer these assets in the rental markets. The charlatans will trick you into paying them the rental deposits as well as monthly rents.

4. Dishonestly declaring to be the owner of the rental property.

Similar to the previous point, the trickster can dishonestly declare to be the owners of the rental factory and warehouse. They would trick you into committing bogus rental contracts and pay them the deposits. After you have paid them the deposit money, they will disappear and cannot be contracted.

Before signing the rental-factory-and-warehouse contract and paying the deposits, you have to scrutinize the ownership of the property. In essence, you have to ensure the person you are renting from is indeed the owner of the leased property.

You can verify the ownership identity from the land deed title, the construction permit, or other sublease agreements of the property. Also, the landlord should provide certified copies of these relevant documents and attach them to the rental contract.

5. The lessor does not perform as agreed.

Beware of These 5 Warehouse and Factory Rental Scams

When you are deciding on your rental factory or warehouse, the landlord may rush you into committing your decision by proposing many empty offers. These fanciful terms are only to trick you into committing on signing the contract and paying the deposit. Afterward, however, the landlords fail to deliver these promises.

Accordingly, to avoid such problems, you should demand that these terms are explicitly specified in the lease agreement. The careful attention in the contract formation provides a mutual understanding between the tenant and the landlord. It also helps prevent future disputes.

If you wish to learn more about what you should know before signing a rental contract, please read our article on 8 Things to Know Before Entering into a Factory and Warehouse Rental Contract. Click!

We hope our article can provide you essential precautions against scams in factory and warehouse rentals. Because renting a factory or a warehouse is an important decision, you should critically evaluate the factors before finalizing your judgment. Afterall renting a proper factory or warehouse will promote your business prosperity, but on the same token, committing a wrong rental decision can significantly impair your business. Therefore, we expect our article to help you avoid these problems.


If you are interested in renting a high-quality factory or warehouses in Thailand, please feel free to contact us anytime. Our properties have complete functions, and they are in excellent locations. Plus, we support our customers with free repair services throughout the leases as well as a full range of customer support services. Our projects have high-security systems with 24-hour security guards, and CCTVs.

Factory for Rent Thailand


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