Real Estate Company Switzerland: GmbH/AG for Property Investment
A real estate company in Switzerland, in the sense most investors mean, is a Swiss limited company, a GmbH or an AG, used to own and manage property rather than holding it personally. It is not an estate agency and not a listed property fund. This guide explains how that vehicle works, the Lex Koller rules that restrict foreign buyers of residential property, the taxes that apply, and how a ready-made Swiss company fits in. Müller Konsult structures these entities for international investors and is upfront about what is and is not possible. This is general information, not legal or tax advice; the rules change and depend on your canton and circumstances.
What is a Swiss real estate company?
A Swiss real estate company is a GmbH or AG whose purpose is owning, letting, and managing real estate, often called an Immobilien-GmbH or Immobilien-AG. The property sits inside the company, and you own the company’s shares. That is a different thing from the “real estate companies” you see ranked in directories, which are brokers and agencies that sell or let other people’s buildings, and different again from a listed property fund or REIT that you buy units in.
Holding property in a Swiss company gives you a clean, recognised vehicle that Swiss banks and counterparties understand. It separates the asset from your personal name, makes ownership easier to restructure or pass on, and lets rental income and gains be handled at company level. The trade-off is that Switzerland regulates who may buy certain property, which shapes the whole plan from the start.
Why hold Swiss property in a company
Owning through a company rather than personally has several practical advantages for an investor:
- Limited liability ring-fences the property and its debts from your personal assets.
- Structuring lets you hold several properties cleanly, often under a single holding company in Europe.
- Succession is simpler when property is held as company shares that can be transferred or gifted, rather than as titled real estate.
- A credible counterparty for Swiss banks, lenders, and sellers, which can help with financing and day-to-day dealings.
- Profit handling at company level, where rental income and reinvestment are taxed under corporate rules rather than your personal bracket.
Whether a company beats personal ownership depends on the size of the holding, your tax position, and your plans for the asset. For a single home you intend to live in, personal ownership is often simpler. For an investment portfolio, the company route usually earns its keep.
Lex Koller: the foreign-buyer restriction you must understand
This is the point no honest adviser should bury. The Federal Act on the Acquisition of Real Estate by Persons Abroad, universally known as Lex Koller (BewG), restricts the acquisition of Swiss residential real estate by persons abroad. Crucially, the law catches not only foreign individuals and foreign-domiciled companies but also Swiss companies under foreign control. So forming a Swiss GmbH does not, by itself, sidestep the rule if the company is controlled from abroad and the target is residential property.
The practical split is what matters:
- Commercial and business premises (offices, retail, industrial, hotels, and property used as a permanent establishment) are generally exempt from Lex Koller. A foreign-owned Swiss company can typically acquire these without special authorisation.
- Residential property bought by a person abroad or a foreign-controlled company is restricted and usually requires authorisation from the cantonal authority, which is granted only on grounds set out in the law and is far from automatic.
- Holiday homes and serviced apartments sit under a separate, stricter regime and may be acquired only by natural persons, never by a company.
The cantons administer Lex Koller and decide, case by case, whether a given transaction needs authorisation and whether to grant it. Because the answer turns on the property type and the control of the buyer, we assess your Lex Koller position honestly before any company is bought or any offer is made.
Residential vs commercial property under Lex Koller
| Property type | Foreign-controlled company can acquire? |
|---|---|
| Office, retail, industrial, logistics | Generally yes, no Lex Koller authorisation |
| Hotel or property used as a permanent establishment | Generally yes (used for the company’s own business) |
| Mixed-use (with a commercial focus) | Case by case; the commercial purpose matters |
| Residential (apartment blocks, rental flats) | Restricted; cantonal authorisation usually required |
| Holiday home or serviced apartment | No, only a natural person may acquire it |
This is why most foreign investors who buy Swiss property through a company focus on commercial assets, where the path is clear, and treat residential plans as a separate, authorisation-dependent question.
GmbH or AG: which entity for property?
A Swiss real estate company is usually a GmbH or an AG. Both give limited liability and both are taxed the same way; the choice is about capital, governance, and how the entity is perceived.
| Factor | Swiss GmbH | Swiss AG |
|---|---|---|
| Minimum share capital | CHF 20,000 (fully paid) | CHF 100,000 (at least CHF 50,000 or 20% paid in) |
| Typical use for property | Smaller holdings, single asset | Larger portfolios, institutional image |
| Shareholder visibility | Members listed in the commercial register | Shareholders not generally public |
| Perception with banks/partners | Solid | Often preferred for larger deals |
| Resident director / signatory | Required | Required |
A GmbH suits an investor holding one or a few properties who wants lower capital tied up. An AG suits larger portfolios, family offices, and cases where the stock-corporation form carries more weight with banks and counterparties. Either way, a Swiss company needs a registered office in Switzerland and at least one director or authorised signatory domiciled in Switzerland, which we arrange through a resident director arrangement and a registered office in Switzerland. If you are still deciding on the entity, our guide to company formation in Switzerland covers the wider picture, and you can also buy a Swiss AG ready-made.
How a Swiss property company is taxed
Swiss property taxation is layered, and almost all of it is set at cantonal and communal level rather than nationally, so the figures depend heavily on where the property sits. There are three taxes to plan for:
- Corporate income tax on rental profit. Switzerland’s effective combined rate runs from around 11.85% in Zug to roughly 20% in Zurich (about 19.7%), with the federal layer at 8.5%. A GmbH and an AG are taxed the same, so the canton drives the bill far more than the entity choice. See corporate tax in Switzerland for the detail.
- Property transfer tax (Handänderungssteuer) when the company buys the property. This is a cantonal or communal charge that varies widely; some cantons levy a notable percentage of the price, while others have abolished it entirely. There is no single national rate.
- Real-estate capital gains tax (Grundstückgewinnsteuer) when the company later sells at a gain. Here Switzerland uses two systems. In monistic cantons, property gains are taxed under a separate real-estate-gains tax. In dualistic cantons, a company’s property gains are taxed as ordinary corporate income. At federal level, corporate gains fall under ordinary corporate income tax.
Because the canton sets so much of this, the location of the property is a structuring decision in itself, not just a lifestyle one. We plan with the relevant cantonal rules in mind rather than quoting a single headline figure.
- €25,000 — Germany — GmbH
- €10,000 — Austria — GmbH
- CHF 20,000 — Switzerland — GmbH
- CHF 50,000 — Liechtenstein — AG
Bar length is scaled to an approximate EUR equivalent; capital is stated in each country’s statutory currency. Sources: GmbHG §5, Austrian GesRÄG 2023, Swiss CO, Liechtenstein PGR.
Asset deal vs share deal
There are two ways to acquire property that is, or will be, held in a company. You can buy the property itself (an asset deal), or buy the company that owns it (a share deal).
| Asset deal | Share deal | |
|---|---|---|
| What you buy | The building | The shares of the property company |
| Transfer tax exposure | Property transfer tax usually applies | May differ by canton; anti-avoidance rules can apply |
| Hidden liabilities | Limited to the asset | You inherit the company’s history, so due diligence matters |
| Lex Koller | Direct acquisition rules apply | A residential share deal can still trigger Lex Koller |
Share deals are sometimes promoted as a way to reduce transfer tax, but the treatment depends on the canton and on anti-avoidance rules, and a residential share deal does not escape Lex Koller simply because shares rather than land change hands. We assess the right structure case by case rather than assuming one route is cheaper.
Using a holding company for a property portfolio
Investors holding more than one property often place each asset in its own company and put a holding company above them. That isolates the risk of each property, makes it possible to sell one asset by selling its company, and can be efficient for dividends moving up the structure thanks to the participation exemption. A Swiss or European holding company above several property companies is a common pattern for family offices and portfolio investors, and we design it around your assets rather than selling a fixed template.
- 1. Consultation — We propose the right company and structure for your goals.
- 2. Due diligence — We confirm the company is clean, debt-free and compliant.
- 3. Notarial transfer — Ownership passes to you — remotely if needed (GmbHG §15).
- 4. Setup — Banking, tax, registered address and director are put in place.
Buying a ready-made Swiss property company
Speed matters in property, and forming a Swiss company from scratch takes time. A ready-made Swiss shelf company is a clean, pre-registered GmbH or AG with no trading history, which you take over so you can move on a deal quickly. For commercial property, this is a straightforward route to a usable vehicle within days of the transfer. For residential plans, the Lex Koller position has to be cleared first, so we confirm feasibility before any purchase rather than after. Ready-made entities are available in the main investment cantons, including a shelf company in Zug and a shelf company in Zurich, and the approach mirrors how we handle a German property GmbH for clients investing across the border.
Considering Swiss property investment? Request a free callback with our lawyers, with no commitment, and we will assess the Lex Koller position honestly before you commit to anything. Talk to our team.
The process step by step
Our process puts the legal feasibility first, so you do not buy a company only to find the property plan is blocked:
- Consultation and Lex Koller feasibility. We confirm the property type (commercial or residential) and whether the buyer or company is a person abroad, then assess whether authorisation is needed.
- Structure choice. GmbH or AG, single company or a holding above several, with the resident director and registered office arranged.
- Entity. Form a new Swiss company or acquire a clean ready-made one for speed, with due diligence either way.
- KYC and AML. We identify the beneficial owners, confirm the source of funds, and prepare the file before anything is signed.
- Registration or transfer. A new company is entered in the commercial register; a ready-made one passes by share transfer. The Swiss-domiciled signatory and registered office are in place.
- Bank account. We help you open a Swiss business bank account and support any financing the purchase needs.
- Acquisition and compliance. The property purchase completes (with cantonal authorisation where residential), then bookkeeping, Swiss tax reporting, and statutory filings keep the company in good standing.
What you need to provide (KYC and AML)
Swiss anti-money-laundering rules apply to forming or buying a company and to the property purchase, so we will ask you to:
- Identify the ultimate beneficial owners and provide passport identification.
- Give details of the incoming director and shareholders.
- Confirm the planned activity and the property type involved.
- Provide proof of address and a clear source of funds, which banks will require for financing.
- Supply corporate documents and the ownership chain if the buyer is itself a company.
Getting this right early also helps the Lex Koller assessment, since the nationality and residence of the people who control the company are central to whether residential property is in reach.
Ongoing compliance and after-sale support
A Swiss company carries real obligations after the purchase, and a property company has its own tax filings on top. We stay with you for:
- Bookkeeping and accounting to Swiss standards.
- Swiss tax reporting, including corporate income tax and the property-related taxes.
- Statutory filings and maintenance of the commercial-register entry.
- Register and beneficial-owner upkeep when ownership or management changes.
- Support for reorganisations, refinancing, and cross-border matters as the portfolio grows.
The aim is to keep the entity compliant and bank-ready for the long term, not just to hand over a company and disappear.
Why work with a lawyer-led adviser
Plenty of websites will sell you a Swiss company, and plenty of agencies will sell you a building, but few connect the two with the law in between. With Müller Konsult you get an honest read on Lex Koller before you spend anything, structuring that fits the property and your tax position, a transparent view of what is included and what costs extra, and a named, accountable lawyer rather than an anonymous form. For non-resident investors, that combination is the difference between a structure that works and one that hits a wall at the cantonal authority.
Frequently asked questions
What is a real estate company in Switzerland?
It is a Swiss GmbH or AG, an Immobilien-GmbH or Immobilien-AG, used to own and manage property. You hold the company’s shares while the company holds the property. It is not an estate agency or a listed property fund.
Can a foreigner buy Swiss property through a company?
For commercial property, generally yes. For residential property, the acquisition is restricted under Lex Koller, even through a Swiss company, if that company is foreign-controlled, and cantonal authorisation is usually required.
What is Lex Koller?
Lex Koller is the Federal Act on the Acquisition of Real Estate by Persons Abroad (BewG). It restricts the acquisition of Swiss residential real estate by persons abroad, foreign-domiciled companies, and Swiss companies under foreign control.
Does Lex Koller apply to my company?
If the company is controlled from abroad and the target is residential property, yes. Commercial and permanent-establishment property is generally exempt, so a foreign-owned company can usually acquire those without authorisation.
Can a company buy a holiday home in Switzerland?
No. Holiday homes and serviced apartments fall under a stricter regime and may be acquired only by natural persons, never by a company.
Should I use a GmbH or an AG for property?
A GmbH (CHF 20,000 capital) suits smaller holdings; an AG (CHF 100,000) suits larger portfolios and cases where the stock-corporation image helps with banks. Both are taxed the same.
What is the minimum capital for a Swiss property company?
A GmbH needs CHF 20,000, fully paid. An AG needs CHF 100,000, with at least CHF 50,000 or 20% paid in.
What taxes does a Swiss property company pay?
Corporate income tax on rental profit, property transfer tax when buying, and real-estate capital gains tax when selling at a gain. Most of these are cantonal, so the rate depends on location.
What is Grundstückgewinnsteuer?
It is the cantonal real-estate capital gains tax charged when property is sold for more than its cost. How it applies to a company depends on whether the canton uses the monistic or dualistic system.
What is the difference between monistic and dualistic cantons?
In monistic cantons, property gains are taxed under a separate real-estate-gains tax. In dualistic cantons, a company’s property gains are taxed as ordinary corporate income.
What corporate tax rate applies?
The effective combined rate ranges from around 11.85% in Zug to roughly 20% in Zurich, with the federal layer at 8.5%. The canton drives the rate far more than the choice of GmbH or AG.
Asset deal or share deal — which is better?
An asset deal buys the property; a share deal buys the company that owns it. Treatment differs by canton, anti-avoidance rules can apply, and a residential share deal still engages Lex Koller. We assess each case.
Can I buy a ready-made Swiss company for property?
Yes. A clean ready-made GmbH or AG gives you a vehicle quickly, which helps in competitive deals. For residential plans, the Lex Koller position must be cleared before you proceed.
Do I need a resident director?
Yes. A Swiss company needs a registered office in Switzerland and at least one director or authorised signatory domiciled there. We can arrange this for non-resident owners.
Should I use a holding company for a portfolio?
Often yes. Placing each property in its own company under a holding isolates risk, lets you sell an asset by selling its company, and can be efficient for dividends moving up the structure.
How long does it take to set up?
A ready-made company can transfer in a few days. Forming a new company takes longer, and cantonal authorisation for residential property under Lex Koller adds further time, depending on the canton.
What ongoing compliance applies?
A Swiss property company must keep proper books, file Swiss tax returns including the property taxes, maintain its commercial-register entry, and keep its beneficial-owner records current. We can handle all of it.
Official sources
- Lex Koller (Acquisition of Real Estate by Persons Abroad) — Swiss Federal Office of Justice
- Switzerland, other taxes (real-estate transfer and capital gains) — PwC Tax Summaries
- Swiss central business index — Zefix
Ready to structure your Swiss property investment?
Contact Müller Konsult for an honest assessment of the Lex Koller position and the right Swiss company for your property plans. We propose the entity, arrange the resident director and banking, and support the entity long after completion. Müller Konsult · Königsallee 27, 40212 Düsseldorf · +49 211 5403 8800 · info@gmbhforsale.com · Request a callback
Reviewed by Stefan Stelthove, Corporate & Commercial Lawyer, Müller Konsult. Last updated 7 June 2026. This is general information, not legal or tax advice.
Related: Buy a Swiss shelf company · Swiss AG for sale · Holding company in Europe · Corporate tax Switzerland · German property GmbH
