This Lease Subordination Agreement is a lienholder's lien that was created by a (Mortgage/Deed of Trust) and is subordinated to a mineral/oil/gas lease and lienholder releases, said Leasehold from all liens created by said (Mortgage/Deed of Trust), and all extensions and renewals of such liens. Lienholder retains all rights under the (Mortgage/Deed of Trust) against any royalty interest reserved by the lessor in and payable under the terms of the lease, or any of lessor's reversionary interests on the termination or expiration of the lease.
Subordination means an agreement to put a debt or claim which has priority in a lower position behind another debt, particularly a new loan. A property owner with a loan secured by the property who applies for a second mortgage to make additions or repairs usually must get a subordination of the original loan so the new loan has first priority. A declaration of homestead must always be subordinated to a loan.
Carrollton Texas Lease Subordination Agreement is a legal contract that outlines the terms and conditions under which a tenant agrees to subordinate their lease rights to those of a third-party lender or landlord. This agreement is commonly used in commercial real estate transactions in Carrollton, Texas. The Carrollton Texas Lease Subordination Agreement ensures that in the event of default or foreclosure on the property, the rights of the lender or landlord will be superior to the tenant's rights. This provides the lender or landlord with added security and allows for better financing terms. The tenant agrees to give up their priority over the property, allowing the lender or landlord to exercise their rights over the property in the event of default. There are different types of Carrollton Texas Lease Subordination Agreements, including: 1. Non-Disturbance Subordination Agreement: This type of agreement protects the tenant's right to continue occupancy of the premises even if there is a default by the landlord. It ensures that the lender or landlord will not disturb the tenant's possession and rights under the lease, as long as the tenant fulfills their lease obligations. 2. Attornment Subordination Agreement: This type of agreement is often used in conjunction with a lease and provides the lender or landlord with the right to enforce the lease terms directly against the tenant if there is a default by the borrower or landlord. The tenant agrees to acknowledge the lender or landlord as their new landlord in case of any default. 3. Subordination, Non-Disturbance, and Attornment Agreement (SODA): This is a comprehensive agreement that combines elements of both the non-disturbance and attornment subordination agreements. It protects the tenant's rights to occupy the premises, acknowledges the lender or landlord as the new landlord in case of default, and subordinates the tenant's rights to those of the lender or landlord. Carrollton Texas Lease Subordination Agreements are crucial for both tenants and lenders or landlords as it establishes clear priorities and protections in case of any default or foreclosure. It is advisable for all parties involved in a commercial real estate transaction in Carrollton, Texas to consult with legal professionals to draft a tailored agreement that best suits their specific needs and interests.
Para su conveniencia, debajo del texto en español le brindamos la versión completa de este formulario en inglés. For your convenience, the complete English version of this form is attached below the Spanish version.
