Enhancing the financeability of leasehold property

Abstract

The aim of this paper is to provide a review of the risk to a mortgage lender in lending on the security of a tenant's leasehold interest in real property and to outline the many ways in which such a risk may be reduced. The paper provides practical suggestions of how this risk reduction may be accomplished to the benefit of the lender, the landlord and the tenant through a combination of careful document review and a well thought out tri-party leasehold mortgage acknowledgment agreement. Copyright © 2004 Henry Stewart Publications