This office lease form states that in the event of a mortgage foreclosure, or termination of any interest which is superior to the lease, the lease shall continue as a lease between the landlord's successors as Lessor and the tenant as lessee with the same force and effect as the originally entered into the lease and the tenant shall be permitted to remain in undisturbed possession, use and occupancy of the premises, provided that the tenant is not in default under the lease after the giving of notice and the expiration of the applicable grace or cure period as provided in the lease.
A Connecticut General Nondisturbance Agreement (CND) is a legal document that provides protection to a tenant when there is a foreclosure or a change in ownership of a property. It is a tripartite agreement between the tenant (lessee), the landlord (lessor), and the lender (mortgagee). In the event of a foreclosure, the lender typically assumes ownership of the property. However, the purpose of a CND is to ensure that the tenant's rights and leasehold interests are not disturbed by the change in ownership. Essentially, it guarantees that if the property is foreclosed upon, the tenant's lease agreement will be honored by the new property owner. By signing a CND, the lender acknowledges the existence of the tenant's lease and agrees not to terminate it due to the foreclosure. This agreement provides the tenant with the assurance that they can continue occupying the property and fulfill their lease obligations without any interference from the new owner. There are different types of Connecticut General Nondisturbance Agreements based on the specific situation or type of property involved. Some variations of CND include: 1. Commercial CND: This type of agreement is relevant for tenants leasing commercial properties, such as office spaces, retail stores, or industrial facilities. It protects the tenant's rights in case of foreclosure or property transfer, ensuring the lease remains intact. 2. Residential CND: This type of agreement is applicable to tenants renting residential properties, such as apartments or houses. It safeguards their leasehold interests and prevents eviction in the event of foreclosure or change in ownership. 3. Subordination Agreement: While not strictly a CND, a subordination agreement is often paired with a Connecticut Nondisturbance Agreement. It establishes the priority of the lender's mortgage lien over the tenant's leasehold interest. In other words, it specifies that if the property is foreclosed upon, the mortgage will be satisfied first, and the lease will remain subordinate to the mortgage. A Connecticut General Nondisturbance Agreement is a crucial legal instrument that provides security and peace of mind to tenants in uncertain or changing property ownership situations. It ensures continuity of tenancy and upholds the terms of the lease, protecting the interests of both tenants and landlords.
