This office lease form shall be subject and subordinate to all present and future ground leases, overriding leases or underlying leases and/or grants of term of the Land and/or the building or the portion thereof in which the Demised Premises are located. This Section shall be self-operative and no further instrument of subordination shall be required. This form also states that the landlord and the tenant agree to share equally all costs incurred in connection with obtaining any Non-disturbance Agreement from the existing superior lessors or superior mortgagees.
Nevada Nondisturbance Provision — Tenant Friendly: A Comprehensive Overview The Nevada Nondisturbance Provision, a tenant-friendly legal provision, aims to protect the rights and interests of tenants in the event of a foreclosure or a change in ownership of a property. Here, we provide a detailed description of what this provision entails, its significance, and the various types of Nevada Nondisturbance Provisions that exist. In Nevada, a nondisturbance provision is typically found within a tenant's lease agreement. This provision is often included when a landlord or property owner agrees to secure financing against their property by granting a mortgage or deed of trust to a lender. It is especially relevant in commercial real estate leases where tenants invest heavily in customizing their rented spaces. When a tenant signs a lease that includes a Nevada Nondisturbance Provision, they are ensured certain rights and protection in the event of the landlord's default or subsequent foreclosure. In a tenant-friendly scenario, the provision prevents the tenant from being arbitrarily evicted or disrupted during the foreclosure process, irrespective of who acquires ownership rights to the property. The Nevada Nondisturbance Provision provides three key protections to tenants: 1. Continuation of Lease: The provision stipulates that the tenant's lease agreement will remain valid and enforceable even if the property undergoes foreclosure. This ensures that the tenant's rights to occupy the premises and continue their business operations are preserved. 2. Recognition of Tenant's Rights: The provision obligates the mortgage lender or the new owner to acknowledge the tenant's rights under the existing lease. This includes recognizing lease terms, rent amounts, renewal options, and other benefits that the tenant negotiated with the original landlord. 3. Nondisturbance: The provision prohibits any disturbance or termination of the tenant's lease as a direct result of the foreclosure or transfer of property ownership. This means the new owner or lender cannot initiate eviction proceedings or disrupt the tenant's occupancy, delivering security and stability to the tenant's business. There are two primary types of Nevada Nondisturbance Provision commonly utilized: 1. Basic Nondisturbance Provision: This provides relatively standard protections to the tenant, ensuring the continuation of the lease and recognition of tenant rights. It serves as a solid foundation but may lack some specific terms tailored to the tenant's unique circumstances. 2. Tailored Nondisturbance Provision: This type of provision offers additional customized protections to the tenant. It addresses specific concerns or requirements the tenant may have, providing enhanced security during foreclosure or property ownership changes. Tailored provisions are often negotiated between the tenant and landlord, with the help of legal professionals. In Nevada, the Nondisturbance Provision is considered tenant-friendly due to its focus on preserving tenant rights and their ability to operate undisturbed even during unpredictable situations, such as foreclosures. It helps create a stable business environment for tenants, encouraging long-term occupancy and fostering a positive landlord-tenant relationship. Tenants should carefully review the lease agreement to ensure a comprehensive Nondisturbance Provision is included. Seeking legal advice is recommended to better understand their rights and negotiate any additional provisions that may be necessary to safeguard their interests. By securing a tenant-friendly Nevada Nondisturbance Provision, tenants can gain peace of mind and protection in an ever-changing real estate landscape.
