What happens to the lease when the property is sold
A site lease generally stays in force when the property changes hands. The tenant keeps operating, and the rent goes to whoever owns the property after closing. Unless the lease is dealt with separately, its value travels to the buyer with everything else.
Selling the lease alongside the property
You can sell the lease and the income it produces to us while you sell the property to someone else. We coordinate our closing with the property sale so that both happen together. The price for the lease is paid to you at closing, apart from the price for the property.
You are paid in immediately available funds at closing. Where it suits your estate or tax planning, the proceeds can instead be structured as a series of payments.
What to tell us early
- The expected closing date for the property sale, so our timetable can match it.
- Who is handling the property closing, so we can coordinate with them directly.
- The lease itself, or the site’s location, the tenant, and the current rent if the lease is not to hand.
If you are the one buying
Buyers of property with a site lease can sell that lease to us once the purchase closes, in the same way as any other owner. Offers are based on the lease terms, how much term remains, and the rent currently being paid. As each deal is unique in its own right, there may be additional factors taken into consideration, but primarily, the offer we extend to you will rest on those three things.
Where to begin
The questionnaire takes about two minutes. If the property sale is already under way, tell us the closing date when you write.