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.
South Dakota Fee Mortgage Provisions from a Ground Lease are provisions specifically tailored to address the rights and responsibilities of the fee mortgagee in relation to a ground lease agreement in the state of South Dakota. These provisions establish the conditions and limitations under which a mortgagee can exercise their rights over the property subject to the ground lease. In South Dakota, there are primarily two types of Fee Mortgage Provisions from a Ground Lease: 1. Non-Disturbance Clause: The Non-Disturbance Clause ensures that the fee mortgagee's rights to the leased property will not be affected in the event of default or termination of the ground lease. It guarantees that the mortgagee's interest will be recognized by the ground lessor or any subsequent landlord, allowing the mortgagee to retain their lien and enforce their rights over the property even if the ground lease is terminated. This provision provides security to lenders in case of default by the tenant of the property subject to the ground lease. 2. Subordination Clause: The Subordination Clause determines the priority of interests between the ground lessor and fee mortgagee. It typically states that the rights of the mortgagee are subordinate to the rights of the ground lessor, meaning that if the ground lease is terminated or the property is foreclosed, the mortgagee's interest will be given lower priority compared to the ground lessor's interest. This provision protects the ground lessor's position as the primary holder of the property's title while allowing the fee mortgagee to still enforce their rights if the property is foreclosed. Both the Non-Disturbance Clause and Subordination Clause play a vital role in protecting the interests of both the fee mortgagee and ground lessor in the context of a ground lease in South Dakota. These provisions ensure that lenders can have confidence in providing mortgage loans secured by properties subject to ground leases, while also safeguarding the interests of the ground lessor and maintaining stability in the financing and leasing arrangements. Keywords: South Dakota Fee Mortgage Provisions, Ground Lease, Non-Disturbance Clause, Subordination Clause, mortgagee's rights, ground lessor's rights, property subject to ground lease, default, termination, lien, security, priority of interests, lender's confidence, financing, leasing arrangements, foreclosure.South Dakota Fee Mortgage Provisions from a Ground Lease are provisions specifically tailored to address the rights and responsibilities of the fee mortgagee in relation to a ground lease agreement in the state of South Dakota. These provisions establish the conditions and limitations under which a mortgagee can exercise their rights over the property subject to the ground lease. In South Dakota, there are primarily two types of Fee Mortgage Provisions from a Ground Lease: 1. Non-Disturbance Clause: The Non-Disturbance Clause ensures that the fee mortgagee's rights to the leased property will not be affected in the event of default or termination of the ground lease. It guarantees that the mortgagee's interest will be recognized by the ground lessor or any subsequent landlord, allowing the mortgagee to retain their lien and enforce their rights over the property even if the ground lease is terminated. This provision provides security to lenders in case of default by the tenant of the property subject to the ground lease. 2. Subordination Clause: The Subordination Clause determines the priority of interests between the ground lessor and fee mortgagee. It typically states that the rights of the mortgagee are subordinate to the rights of the ground lessor, meaning that if the ground lease is terminated or the property is foreclosed, the mortgagee's interest will be given lower priority compared to the ground lessor's interest. This provision protects the ground lessor's position as the primary holder of the property's title while allowing the fee mortgagee to still enforce their rights if the property is foreclosed. Both the Non-Disturbance Clause and Subordination Clause play a vital role in protecting the interests of both the fee mortgagee and ground lessor in the context of a ground lease in South Dakota. These provisions ensure that lenders can have confidence in providing mortgage loans secured by properties subject to ground leases, while also safeguarding the interests of the ground lessor and maintaining stability in the financing and leasing arrangements. Keywords: South Dakota Fee Mortgage Provisions, Ground Lease, Non-Disturbance Clause, Subordination Clause, mortgagee's rights, ground lessor's rights, property subject to ground lease, default, termination, lien, security, priority of interests, lender's confidence, financing, leasing arrangements, foreclosure.
