This article discusses how a ground leased fee estate can resemble a non-recourse mortgage loan. While the purchase and sale of a ground leased interest is similar to other commercial real estate purchases, the author focuses on additional considerations that a ground lease interest purchaser or seller should think about before acquiring or selling a ground leased fee estate, structuring and closing the transaction, and conducting due diligence.
For example, the author discusses how purchasers of ground leased fee estates should treat casualty loss and condemnation, representations, warranties and executory period agreements, prorations, security and other deposits, estoppel certificates, and assignments of the purchase and sale agreement in ground leased fee estate transactions.
Read, "Issues to Consider in the Purchase and Sale of a Ground Leased Fee Estate (With Form)," in its entirety.
Chicago
