This office lease is subject and subordinate to all ground or underlying leases and to all mortgages which may affect the lease or the real property of which demised premises are a part and to all renewals, modifications, consolidations, replacements and extensions of any such underlying leases and mortgages. This clause shall be self-operative.
A Phoenix Arizona Subordination Provision is a legal term used in real estate transactions in the Phoenix, Arizona area. It refers to a clause or provision that is commonly included in mortgage agreements, lease agreements, or other financial contracts. The purpose of a Subordination Provision is to establish the priority of liens or claims against a property in case of default or foreclosure. It determines the order in which different parties have the right to collect on a property or its proceeds. In general, a Subordination Provision specifies that a specific lien, such as a mortgage or a lease, will be subordinate to another lien. This means that in the event of default, the lien holder with the higher priority will be entitled to have their claim satisfied before the lien holder with the lower priority. There are several types of Subordination Provisions that may be encountered in Phoenix, Arizona: 1. Mortgage Subordination Provision: This type of provision is commonly used in mortgage agreements. It establishes the priority of multiple mortgages on a property, ensuring that the senior lien holder is paid first in the event of foreclosure. This provision is often used when a homeowner wants to refinance their mortgage but has an existing second mortgage or home equity loan. 2. Lease Subordination Provision: In commercial real estate transactions, a Lease Subordination Provision is often included. It states that in the event of foreclosure, the lease agreement will be subordinate to the lien holder's rights. This provision protects the interests of the mortgage holder, allowing them to take over and lease the property to generate income. 3. Subordination Agreement: A Subordination Agreement is a separate legal document that establishes the subordination of one lien to another. It is used when there is a need to modify the order of priority between lien holders. This may happen when refinancing a mortgage, obtaining a new loan, or restructuring existing debts. In Phoenix, Arizona, the presence of Subordination Provisions is significant for lenders, borrowers, landlords, and tenants alike. It ensures that the rights and interests of different parties involved in a real estate transaction are protected and that the proper order of priority is established. Keywords: Phoenix Arizona, Subordination Provision, mortgage, lease, lien, priority, default, foreclosure, mortgage subordination provision, lease subordination provision, subordination agreement, refinancing, lien holders, real estate.A Phoenix Arizona Subordination Provision is a legal term used in real estate transactions in the Phoenix, Arizona area. It refers to a clause or provision that is commonly included in mortgage agreements, lease agreements, or other financial contracts. The purpose of a Subordination Provision is to establish the priority of liens or claims against a property in case of default or foreclosure. It determines the order in which different parties have the right to collect on a property or its proceeds. In general, a Subordination Provision specifies that a specific lien, such as a mortgage or a lease, will be subordinate to another lien. This means that in the event of default, the lien holder with the higher priority will be entitled to have their claim satisfied before the lien holder with the lower priority. There are several types of Subordination Provisions that may be encountered in Phoenix, Arizona: 1. Mortgage Subordination Provision: This type of provision is commonly used in mortgage agreements. It establishes the priority of multiple mortgages on a property, ensuring that the senior lien holder is paid first in the event of foreclosure. This provision is often used when a homeowner wants to refinance their mortgage but has an existing second mortgage or home equity loan. 2. Lease Subordination Provision: In commercial real estate transactions, a Lease Subordination Provision is often included. It states that in the event of foreclosure, the lease agreement will be subordinate to the lien holder's rights. This provision protects the interests of the mortgage holder, allowing them to take over and lease the property to generate income. 3. Subordination Agreement: A Subordination Agreement is a separate legal document that establishes the subordination of one lien to another. It is used when there is a need to modify the order of priority between lien holders. This may happen when refinancing a mortgage, obtaining a new loan, or restructuring existing debts. In Phoenix, Arizona, the presence of Subordination Provisions is significant for lenders, borrowers, landlords, and tenants alike. It ensures that the rights and interests of different parties involved in a real estate transaction are protected and that the proper order of priority is established. Keywords: Phoenix Arizona, Subordination Provision, mortgage, lease, lien, priority, default, foreclosure, mortgage subordination provision, lease subordination provision, subordination agreement, refinancing, lien holders, real estate.
