Hello all
so I have been in Thailand just short of two months. I came here or more accurately I left my life in Los Angeles to seek healing and growth inwardly and outwardly. I allowed my life in L.A. to become stale and borring. Just too easy. I didn't like the man I was becoming - quite bitter toward myself and relationships. Events were actually pushing me out of L.A. Not getting over losing what I thought was my life time partner and losing my main work contacts. Nothing was keeping me there...except I liked creating chill spaces at parties...which was a fun but expensive hobby and preparing for Burning Man...again another expensive hobby. So I choose to sell/give away everything and venture to Thailand with the intention of physical (still need my hip replacement operation - can't be done in Thailand as I thought) emotional and spiritual healing and Adventure. I now swim everyday in the ocean before 7am and have strengthened the muscles around my right hip to gain greater torso support in order to ease some of the pain. (I've got to the end of this year to come back to the States to get the operation completed.) It's taken 5 years but I have finally re-developed my meditation practice and am doing my best now to respond to life rather then react in slavery.
I always wondered where my natural desire to create environmental chill spaces would take me. This was an enjoyable and rewarding hobby but could I take it to the next step and create a business out of it. This I observe is what I fell into here in Thailand. Specifically Lonely Beach in Koh Chang, Thailand. I am creating what I like to pompously label as the "World's first permanent Burning Man installation on Thailand." The Magic Garden. This includes a restaurant, chill zone with faux fur, and a garden area with two 5-7 person hot tubs. The decor and atmosphere is psychedelic Buddha chill. Adjacent to these structures is The Magic Garden Bungalow Village containing 40 gorgeous bungalows. 15 bungalows with private toliet/hot shower/fan. 15 bungalows with private toliet/hot shower/air conditioning. 6 bungalows with private toliet/hotshower/air con grouped into 3 pairs - each sharing a 4 person hot tub and 4 bungalows with aformentioned stuff and their own private hot tub. There will a center shared chill space/party area - The Power Lounge - similiar to one I created at Burning Man last year. (We'll even have a tribute to "Pinkys" and "Pink Mammoth" of BM called "Pink Dragon" each Sunday afternoon/night - complete with poi, hooping, stripper poles and shadow dancing.) The drawings for all this are at
www.snapfish.com/thumbnail..._=34223838
These were made by Lang - my Zen contractor in Thailand. He created this on a CAD program and I wasn't able to reproduce the file to send so I simply took photos of it off his monitor. It's really a cool program - when you click on the area it tells you the dimensions of the structure or space in meters. All this is on 4.3 RAI (7500 sq. meters of land - 1.6 acres) that I have leased out for 14 years by creating a Thai/American Company. Costing less per year then my 15' by 15' apartment in Venice! The captions for the drawings explains what you are seeing and the only items missing from the drawings is a 16' aluminum geodisic that'll be brought from the US to serve as the reception/travel agency/guest locker area. This will be below and right of the restaurant. Also, there will be another 16' dome that'll house 3-4 Thai massuesses. The dots are all palm trees. The walk ways will be made of wood. Now the money is in place to build (land is cleared tomorrow by 20 Thai) the three circular structures, - restaurant/chill zone/hot tub garden - the underneath kitchen and rooms,Thai housing for 16, wooden deck next to Banyon Tree that'll have swings connected to the branches and cement paving the front driveway. This will all be finished by April 10th and we will be up and running just prior to 4/20/06 and in time for the Burning Coconut Man Regional.
The Magic Garden Bungalow Village
An experiment in sustainable living art.
Intention - to create a physical and energetic environment that further inspires one to heal, create and explore while living in a community of like minded individuals.
The Costs - presently the exchange rate is 39 baht (and raising again - started out 41 baht per dollar two months ago) All figures are based on 40 baht per dollar to simply math.
One year's rent - 450,000 baht ($11,250) 14 year lease with 20% increase every three years
One time leasing fee - 200,000 baht ($5000.00)
One time land office fee - 70,000 baht ($1750)
Construction of 40 bungalows,decks for hot tubs, toliet/showers, wooden path ways, all electricity requirements (except lights), all plumbing (except electric pumb from well) and Power Lounge chill space - 3,000,000 baht ($75,000)
25 air conditioners - 300,000 baht ($7500)
40 mattresses - 100,000 baht ($2500)
20 fans - 12,000 baht ($300.)
40 hot water shower heaters - 120,000 baht ($3000)
50 bedding and pillows - 100,000 baht - $2500
7 four person hot tubs, thermal pads and shipping - 840,000 baht ($21,000)
Decor/lights, black light gardens/Power Lounge decks, floor padding, cushions, pillows with faux fur liners, etc. - 200,000 baht ($5000.00)
Total cost of building and furnishing for first year - $134,800
SALARIES FOR ONE YEAR
One year salary for manager - $12,000
One year salary for English speaking reception person $9600
One year salary for two Thai caretakers - $1500 each or $3000 total
Total yearl salaries - $24,600
UTILITIES
One time fee for building well and electric water pump - 18,000 baht ($450)
Electricity - high estimate is $3000 per year
Total cost for creating and operating for one year - $162,850
Additional cash reserve - $17,150
Total investment for 90% stake - $180,000 (I own 10%)
This is a long term/fun term investment. You will receive your orginal investment back in less then 2 years and if you hold on for 14 years you will triple your investment ammount. If we sell prior to the lease ending then a greater profit will be made.
INCOME
15 bungalows with private toliet/hot shower/fan - 400 baht ($10.) per night - $150 total per night at full occupancy
15 bungalows with private toliet/hot shower/air con - 600 baht ($15) per night - $225 total per night at full occupancy
6 bungalows with private toliet/hot shower/air con/shared hot tub - 1100 baht per night ($27.50) - $165 total per night at full occupancy
4 bungalows with private toliet/hot shower/air con/private hot tub - 1300 baht per night ($32.50) - $130 total per night at full occupancy
= $670 per night at full occupancy
Using two years operating costs
Year One (including cash reserve for equipment repairs etc.) $180,000
Year two - Rent - $11,250
Staff - $24,600
Electric - $3000
= $38,850 for second year operating costs
Total to operate for two years - $218,850
Dividing this two year total $218,850 by $670 per night a full occupancy = 327 nights at full occupancy to break even for two years expenses. That's 164 nights per year at full occupancy.
The projection belows are my best estimate talking to various bungalow village owners.
High season Oct 1st - April 1st (4 months at full occupancy, 2 months at half occupancy) = $100,500
Low Season April 2nd - Sept 30th. (3 months at half occupancy, 3 months at quater occupancy) = $45,225
Total from bungalow rentals per year - $145,725
Other yearly revenue
1) There will be a "Pepsi" fridge at the Power Lounge full of beer, soda, juices for sale - Whatever we sell will have 100% mark up.
2) Commission from selling city bus tickets, mini-bus tickets, ferrie tickets, tour packages = min $3000 per year
3) We get a 50 baht commission off all Thai massages How many per year is your guess good as mine.
4) Bar sales from parties - 100% mark up of what we sell
Two year total from bungalow rentals only - $291,450
Original investment recouped in less then two years and 6 times the investment after 14 years.
Third year operating costs with raises and such - $40,000
Third year return - $145,725. Over $100,000 profit per year by third year.
NOTE ABOUT INCOME TAX AND PREPARATION - Thai law is seven percent of income received, but we do have a very creative local accountant who charges 22,000 baht per year ($550) to allow us to pay the 7% on as little as legally possible.
Now beginning the fourth year will have a 20% increase in rent. From $11,250 to $13,500 for rent for the next 3 years. Then another 20% increase every three years. If we match raising costs, repairs, etc with raising rental fees then for the last 12 years we can make $1,200,000 profit from original $180,000 investment. Feel free to check all figures and tell me where I may be wrong in my calculations.
Now if we sell out earlier then when our 14 year lease is up (of course we can renogiate but who know what land prices will be in 14 years - It has trippled in the last 3 years. )
The sale is based on
1) Our sale price for the business and property and years left on lease
2) Does the purchaser want to simply take over our present lease with it's remaining years?
3) Or can the purchaser negotiate with the owner to begin a brand new lease at whatever they decide.
Minimum cash investment is $10,000.
NOTE: The speed of investment money coming in determines the rate of construction. The first money invested goes to paying back the pre-paid first year lease of this land and contract fee. All the next money goes to building the bungalows (and walkways) at the speed of investment flow. First we will build the 15 bungalows with private toliet, hot shower and fan that rent out for 400 baht. Next will be the 15 bungalows with air conditioning for 600 baht. Then the final bugalows with hot tubs at their prices. So what I am getting at is that we don't have to have all 40 bungalows built to be up and running. I would like to be fully built and open by next high season in Oct. But, who knows, perhaps the weather will be nice in September and this could be a great place to decompress from Burning Man. Up to you.
Thanks...Marcus
Thailand phone number is
071438945 country code is 66
You add 011 for international
and leave out the 0 between the county code 66 and city code, so it becomes;
0116671438945
so I have been in Thailand just short of two months. I came here or more accurately I left my life in Los Angeles to seek healing and growth inwardly and outwardly. I allowed my life in L.A. to become stale and borring. Just too easy. I didn't like the man I was becoming - quite bitter toward myself and relationships. Events were actually pushing me out of L.A. Not getting over losing what I thought was my life time partner and losing my main work contacts. Nothing was keeping me there...except I liked creating chill spaces at parties...which was a fun but expensive hobby and preparing for Burning Man...again another expensive hobby. So I choose to sell/give away everything and venture to Thailand with the intention of physical (still need my hip replacement operation - can't be done in Thailand as I thought) emotional and spiritual healing and Adventure. I now swim everyday in the ocean before 7am and have strengthened the muscles around my right hip to gain greater torso support in order to ease some of the pain. (I've got to the end of this year to come back to the States to get the operation completed.) It's taken 5 years but I have finally re-developed my meditation practice and am doing my best now to respond to life rather then react in slavery.
I always wondered where my natural desire to create environmental chill spaces would take me. This was an enjoyable and rewarding hobby but could I take it to the next step and create a business out of it. This I observe is what I fell into here in Thailand. Specifically Lonely Beach in Koh Chang, Thailand. I am creating what I like to pompously label as the "World's first permanent Burning Man installation on Thailand." The Magic Garden. This includes a restaurant, chill zone with faux fur, and a garden area with two 5-7 person hot tubs. The decor and atmosphere is psychedelic Buddha chill. Adjacent to these structures is The Magic Garden Bungalow Village containing 40 gorgeous bungalows. 15 bungalows with private toliet/hot shower/fan. 15 bungalows with private toliet/hot shower/air conditioning. 6 bungalows with private toliet/hotshower/air con grouped into 3 pairs - each sharing a 4 person hot tub and 4 bungalows with aformentioned stuff and their own private hot tub. There will a center shared chill space/party area - The Power Lounge - similiar to one I created at Burning Man last year. (We'll even have a tribute to "Pinkys" and "Pink Mammoth" of BM called "Pink Dragon" each Sunday afternoon/night - complete with poi, hooping, stripper poles and shadow dancing.) The drawings for all this are at
www.snapfish.com/thumbnail..._=34223838
These were made by Lang - my Zen contractor in Thailand. He created this on a CAD program and I wasn't able to reproduce the file to send so I simply took photos of it off his monitor. It's really a cool program - when you click on the area it tells you the dimensions of the structure or space in meters. All this is on 4.3 RAI (7500 sq. meters of land - 1.6 acres) that I have leased out for 14 years by creating a Thai/American Company. Costing less per year then my 15' by 15' apartment in Venice! The captions for the drawings explains what you are seeing and the only items missing from the drawings is a 16' aluminum geodisic that'll be brought from the US to serve as the reception/travel agency/guest locker area. This will be below and right of the restaurant. Also, there will be another 16' dome that'll house 3-4 Thai massuesses. The dots are all palm trees. The walk ways will be made of wood. Now the money is in place to build (land is cleared tomorrow by 20 Thai) the three circular structures, - restaurant/chill zone/hot tub garden - the underneath kitchen and rooms,Thai housing for 16, wooden deck next to Banyon Tree that'll have swings connected to the branches and cement paving the front driveway. This will all be finished by April 10th and we will be up and running just prior to 4/20/06 and in time for the Burning Coconut Man Regional.
The Magic Garden Bungalow Village
An experiment in sustainable living art.
Intention - to create a physical and energetic environment that further inspires one to heal, create and explore while living in a community of like minded individuals.
The Costs - presently the exchange rate is 39 baht (and raising again - started out 41 baht per dollar two months ago) All figures are based on 40 baht per dollar to simply math.
One year's rent - 450,000 baht ($11,250) 14 year lease with 20% increase every three years
One time leasing fee - 200,000 baht ($5000.00)
One time land office fee - 70,000 baht ($1750)
Construction of 40 bungalows,decks for hot tubs, toliet/showers, wooden path ways, all electricity requirements (except lights), all plumbing (except electric pumb from well) and Power Lounge chill space - 3,000,000 baht ($75,000)
25 air conditioners - 300,000 baht ($7500)
40 mattresses - 100,000 baht ($2500)
20 fans - 12,000 baht ($300.)
40 hot water shower heaters - 120,000 baht ($3000)
50 bedding and pillows - 100,000 baht - $2500
7 four person hot tubs, thermal pads and shipping - 840,000 baht ($21,000)
Decor/lights, black light gardens/Power Lounge decks, floor padding, cushions, pillows with faux fur liners, etc. - 200,000 baht ($5000.00)
Total cost of building and furnishing for first year - $134,800
SALARIES FOR ONE YEAR
One year salary for manager - $12,000
One year salary for English speaking reception person $9600
One year salary for two Thai caretakers - $1500 each or $3000 total
Total yearl salaries - $24,600
UTILITIES
One time fee for building well and electric water pump - 18,000 baht ($450)
Electricity - high estimate is $3000 per year
Total cost for creating and operating for one year - $162,850
Additional cash reserve - $17,150
Total investment for 90% stake - $180,000 (I own 10%)
This is a long term/fun term investment. You will receive your orginal investment back in less then 2 years and if you hold on for 14 years you will triple your investment ammount. If we sell prior to the lease ending then a greater profit will be made.
INCOME
15 bungalows with private toliet/hot shower/fan - 400 baht ($10.) per night - $150 total per night at full occupancy
15 bungalows with private toliet/hot shower/air con - 600 baht ($15) per night - $225 total per night at full occupancy
6 bungalows with private toliet/hot shower/air con/shared hot tub - 1100 baht per night ($27.50) - $165 total per night at full occupancy
4 bungalows with private toliet/hot shower/air con/private hot tub - 1300 baht per night ($32.50) - $130 total per night at full occupancy
= $670 per night at full occupancy
Using two years operating costs
Year One (including cash reserve for equipment repairs etc.) $180,000
Year two - Rent - $11,250
Staff - $24,600
Electric - $3000
= $38,850 for second year operating costs
Total to operate for two years - $218,850
Dividing this two year total $218,850 by $670 per night a full occupancy = 327 nights at full occupancy to break even for two years expenses. That's 164 nights per year at full occupancy.
The projection belows are my best estimate talking to various bungalow village owners.
High season Oct 1st - April 1st (4 months at full occupancy, 2 months at half occupancy) = $100,500
Low Season April 2nd - Sept 30th. (3 months at half occupancy, 3 months at quater occupancy) = $45,225
Total from bungalow rentals per year - $145,725
Other yearly revenue
1) There will be a "Pepsi" fridge at the Power Lounge full of beer, soda, juices for sale - Whatever we sell will have 100% mark up.
2) Commission from selling city bus tickets, mini-bus tickets, ferrie tickets, tour packages = min $3000 per year
3) We get a 50 baht commission off all Thai massages How many per year is your guess good as mine.
4) Bar sales from parties - 100% mark up of what we sell
Two year total from bungalow rentals only - $291,450
Original investment recouped in less then two years and 6 times the investment after 14 years.
Third year operating costs with raises and such - $40,000
Third year return - $145,725. Over $100,000 profit per year by third year.
NOTE ABOUT INCOME TAX AND PREPARATION - Thai law is seven percent of income received, but we do have a very creative local accountant who charges 22,000 baht per year ($550) to allow us to pay the 7% on as little as legally possible.
Now beginning the fourth year will have a 20% increase in rent. From $11,250 to $13,500 for rent for the next 3 years. Then another 20% increase every three years. If we match raising costs, repairs, etc with raising rental fees then for the last 12 years we can make $1,200,000 profit from original $180,000 investment. Feel free to check all figures and tell me where I may be wrong in my calculations.
Now if we sell out earlier then when our 14 year lease is up (of course we can renogiate but who know what land prices will be in 14 years - It has trippled in the last 3 years. )
The sale is based on
1) Our sale price for the business and property and years left on lease
2) Does the purchaser want to simply take over our present lease with it's remaining years?
3) Or can the purchaser negotiate with the owner to begin a brand new lease at whatever they decide.
Minimum cash investment is $10,000.
NOTE: The speed of investment money coming in determines the rate of construction. The first money invested goes to paying back the pre-paid first year lease of this land and contract fee. All the next money goes to building the bungalows (and walkways) at the speed of investment flow. First we will build the 15 bungalows with private toliet, hot shower and fan that rent out for 400 baht. Next will be the 15 bungalows with air conditioning for 600 baht. Then the final bugalows with hot tubs at their prices. So what I am getting at is that we don't have to have all 40 bungalows built to be up and running. I would like to be fully built and open by next high season in Oct. But, who knows, perhaps the weather will be nice in September and this could be a great place to decompress from Burning Man. Up to you.
Thanks...Marcus
Thailand phone number is
071438945 country code is 66
You add 011 for international
and leave out the 0 between the county code 66 and city code, so it becomes;
0116671438945
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