Kentucky Sample Subordination, Nondisturbance and Attornment Agreement

• Category: Corporations - Public
• State: Multi-State
• Control #: US-EG-9472
• Format: Word; Rich Text

Description

Subordination, Non-Disturbance and Attornment Agreement between 233 Broadway Owners LLC, Organic and Lehman Brothers Holding, Inc. regarding assurances of possession of premises dated 00/99. 5 pages. A Kentucky Sample Subordination, Nondisturbance, and Attornment Agreement, commonly referred to as SODA, is a legal document that outlines the relationship between a lender, landlord, and tenant in the context of a real estate transaction. This agreement is crucial in situations where a tenant is leasing a property that is subject to a mortgage. The Subordination clause in the SODA establishes the priority of lien rights for the lender and the landlord. It states that the tenant's leasehold interest will be subordinate to the lender's mortgage. This means that if the lender forecloses on the property, the leasehold interest of the tenant will be secondary to the lender's rights. The Nondisturbance clause ensures that in the event of foreclosure, the lender will not disturb the tenant's rights to occupy and use the leased premises. The tenant's lease will continue on the same terms and conditions as before the foreclosure. This provision is crucial for tenants who heavily rely on their premises for their business operations. The Attornment clause requires the tenant to recognize and attorn to the new owner or landlord in the event that the property is sold or foreclosed upon. This means that the tenant agrees to accept the new owner as their landlord and continues to pay rent and fulfill the lease obligations. Different types of Kentucky Sample Subordination, Nondisturbance, and Attornment Agreements may vary based on the specific details of the transaction. For example, there may be variances in commercial, retail, or residential agreements. The terms and conditions of these agreements can also differ based on the negotiating power of the parties involved. In summary, a Kentucky Sample Subordination, Nondisturbance, and Attornment Agreement is a legally binding document that protects the rights of a tenant when a property they are leasing is subject to a mortgage. It prioritizes the lender's rights, ensures the tenant's continued occupancy in case of foreclosure, and requires the tenant to recognize and attorn to new owners. These agreements are essential for maintaining stability and clarity in real estate transactions in Kentucky.

A Kentucky Sample Subordination, Nondisturbance, and Attornment Agreement, commonly referred to as SODA, is a legal document that outlines the relationship between a lender, landlord, and tenant in the context of a real estate transaction. This agreement is crucial in situations where a tenant is leasing a property that is subject to a mortgage. The Subordination clause in the SODA establishes the priority of lien rights for the lender and the landlord. It states that the tenant's leasehold interest will be subordinate to the lender's mortgage. This means that if the lender forecloses on the property, the leasehold interest of the tenant will be secondary to the lender's rights. The Nondisturbance clause ensures that in the event of foreclosure, the lender will not disturb the tenant's rights to occupy and use the leased premises. The tenant's lease will continue on the same terms and conditions as before the foreclosure. This provision is crucial for tenants who heavily rely on their premises for their business operations. The Attornment clause requires the tenant to recognize and attorn to the new owner or landlord in the event that the property is sold or foreclosed upon. This means that the tenant agrees to accept the new owner as their landlord and continues to pay rent and fulfill the lease obligations. Different types of Kentucky Sample Subordination, Nondisturbance, and Attornment Agreements may vary based on the specific details of the transaction. For example, there may be variances in commercial, retail, or residential agreements. The terms and conditions of these agreements can also differ based on the negotiating power of the parties involved. In summary, a Kentucky Sample Subordination, Nondisturbance, and Attornment Agreement is a legally binding document that protects the rights of a tenant when a property they are leasing is subject to a mortgage. It prioritizes the lender's rights, ensures the tenant's continued occupancy in case of foreclosure, and requires the tenant to recognize and attorn to new owners. These agreements are essential for maintaining stability and clarity in real estate transactions in Kentucky.