Leasehold Mortgages Explained
"Leasehold mortgages have traditionally secured ground leases, but can also secure space leases of all types, and can add value to a wide variety of deals. However, there are pitfalls for the unwary: only when all parties to a deal fully understand the functioning of a leasehold mortgage is it possible to safely take advantage of this powerful and valuable mechanism.
Part I of this two-part series addresses the following three topics that are important to understand when putting together a leasehold finance arrangement:
(i) What is a 'leasehold mortgage?'
(ii) What makes a lease 'marketable?'
(iii) How is the lien of a leasehold mortgage filed and perfected?"
