A Miami-Dade Florida Subordination Nondisturbance and Attornment Agreement (SODA) is a legal contract that establishes the rights and obligations between three parties: the landlord, the tenant, and a third-party lender, typically a mortgagee or a lender providing financing to the landlord. The agreement ensures that in the event of foreclosure or other default on the landlord's mortgage, the tenant's leasehold rights will be recognized and protected by the lender. This agreement is commonly used in commercial real estate transactions. The purpose of the Miami-Dade Florida SODA is to provide the tenant with assurance that their leasehold rights will be acknowledged by the lender and that they can continue to occupy and use the leased premises regardless of any changes in ownership or mortgage defaults. It accomplishes this by establishing the following key provisions: 1. Subordination: The tenant agrees to subordinate its leasehold rights to the lender's mortgage, meaning that the lender's interest in the property takes priority over the tenant's rights. This ensures that the lender can enforce their security interest without interference from the tenant. 2. Non-Disturbance: The lender provides a non-disturbance provision to the tenant, promising not to disturb the tenant's leasehold rights as long as the tenant complies with the terms of the lease. This protects the tenant from being evicted or having their rights disrupted due to the landlord's default. 3. Attornment: The tenant agrees to recognize the lender as the new landlord in the event of foreclosure or a transfer of ownership. This allows the lender to step into the landlord's shoes and enforce the terms of the lease with the tenant, maintaining a smooth ongoing relationship. It is important to note that there is no specific type of Miami-Dade Florida Sodas. Rather, the agreement generally follows the guidelines established by industry standards and legal requirements. However, the parties involved may draft customized provisions to suit their specific needs and circumstances. In conclusion, a Miami-Dade Florida SODA is a crucial document that protects the tenant's leasehold rights in commercial real estate transactions. It provides the tenant with assurance of their ongoing occupancy and use of the leased premises, even in the event of default or foreclosure on the landlord's mortgage. Such agreements are vital for promoting stability and continuity for both lenders and tenants in the dynamic real estate market.
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.Miami-Dade Florida Acuerdo de Subordinación de No Perturbación y Apertura - Subordination Nondisturbance and Attornment Agreement
State:
Multi-State
County:
Miami-Dade
Control #:
US-0734-WG
Format:
Word
Instant download
Description
Subordination Nondisturbance and Attornment Agreement
A Miami-Dade Florida Subordination Nondisturbance and Attornment Agreement (SODA) is a legal contract that establishes the rights and obligations between three parties: the landlord, the tenant, and a third-party lender, typically a mortgagee or a lender providing financing to the landlord. The agreement ensures that in the event of foreclosure or other default on the landlord's mortgage, the tenant's leasehold rights will be recognized and protected by the lender. This agreement is commonly used in commercial real estate transactions. The purpose of the Miami-Dade Florida SODA is to provide the tenant with assurance that their leasehold rights will be acknowledged by the lender and that they can continue to occupy and use the leased premises regardless of any changes in ownership or mortgage defaults. It accomplishes this by establishing the following key provisions: 1. Subordination: The tenant agrees to subordinate its leasehold rights to the lender's mortgage, meaning that the lender's interest in the property takes priority over the tenant's rights. This ensures that the lender can enforce their security interest without interference from the tenant. 2. Non-Disturbance: The lender provides a non-disturbance provision to the tenant, promising not to disturb the tenant's leasehold rights as long as the tenant complies with the terms of the lease. This protects the tenant from being evicted or having their rights disrupted due to the landlord's default. 3. Attornment: The tenant agrees to recognize the lender as the new landlord in the event of foreclosure or a transfer of ownership. This allows the lender to step into the landlord's shoes and enforce the terms of the lease with the tenant, maintaining a smooth ongoing relationship. It is important to note that there is no specific type of Miami-Dade Florida Sodas. Rather, the agreement generally follows the guidelines established by industry standards and legal requirements. However, the parties involved may draft customized provisions to suit their specific needs and circumstances. In conclusion, a Miami-Dade Florida SODA is a crucial document that protects the tenant's leasehold rights in commercial real estate transactions. It provides the tenant with assurance of their ongoing occupancy and use of the leased premises, even in the event of default or foreclosure on the landlord's mortgage. Such agreements are vital for promoting stability and continuity for both lenders and tenants in the dynamic real estate market.
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