This office lease form states that the lessor represents to the lessee that the existing fee mortgage is the only mortgage encumbering the land and the demised premises. The lessor agrees to cause the holder of the existing fee mortgage to agree to certain provisions.
Missouri Fee Mortgage Provisions from a Ground Lease refer to the specific clauses and provisions that govern the rights and obligations of parties involved in a mortgage transaction related to a property located on leased land in the state of Missouri. This type of arrangement involves the combination of a fee (ownership) interest in improvements on a leased land (ground lease interest) with a mortgage. The Missouri Fee Mortgage Provisions from a Ground Lease are designed to protect the interests of both the lender (mortgagee) and the property owner (mortgagor) by establishing the terms and conditions under which the mortgage is granted and enforced. These provisions ensure that the mortgagee has sufficient rights and remedies in case of default, while also safeguarding the rights of the mortgagor. There are different types of Missouri Fee Mortgage Provisions from a Ground Lease that might be utilized depending on the specific circumstances of the transaction. Some common variations include: 1. Priority of Mortgage: This provision determines whether the mortgage takes priority over the ground lease or vice versa in case of conflicting claims on the property. It establishes the order in which creditors will be paid in the event of default. 2. Ground Lease Default as Mortgage Default: This provision allows the mortgagee to treat a default under the ground lease as a default under the mortgage, thereby triggering the mortgagee's rights and remedies. 3. Ground Lease Modification: This provision addresses the circumstances under which the ground lease can be modified or amended and whether such modifications require the mortgagee's consent. 4. Leasehold Subordination: This provision deals with the rights of the ground lessee (property owner) in relation to the mortgagee. It establishes that the mortgage has priority over the ground lease, ensuring that the mortgagee's interest is protected. 5. Mortgagee's Right of Entry: This provision grants the mortgagee the right to access the leased property in case of default, enabling them to protect their security interest and potentially sell or lease the property to recover the outstanding debt. 6. Termination of Ground Lease: This provision details the consequences of the termination or expiration of the ground lease on the mortgage, including potential remedies available to the mortgagee. These Missouri Fee Mortgage Provisions from a Ground Lease are crucial for ensuring a clear understanding of the respective rights, obligations, and remedies of the parties involved in a mortgage transaction related to leased land in Missouri. It is advisable for both borrowers and lenders to seek legal advice to draft appropriate provisions suited to their specific situation to protect their interests effectively.
