100 year lease?
My late mother had a piece of land leased to a club for several years.
I believe she signed a 100 year lease to this organisation. I also believe she gave her permission for them to build changing rooms etc on same land.
Now that my mother is deceased and the land has been left to me and my brother can we take it that the lease is null and void?
Also who actually legally owns the buildings that were erected on said piece of land?
thanks in advan
Answer:
No I don,t think the lease is automatically broken, and as far as the buildings, well they become improvements onto the property and cannot be removed, so when the lease is up you own the property and anything permanently attached to it.
However real estate laws vary from state to state so you should consult an attorney regarding this matter. Good luck to you and Hope I've been of help.
Hey , 10 points would be greatly appreciated :)
yo would be better off getting a lawyer. i think you could break the lease. the buildings belong to the land.
Leases run with THE LAND, not the land-owner. The lease is still effective.
The heirs would then collect the lease fees each year. Also carefully read the contract and see when it can be re-evaluated-- most leases allow for rental increases, so dont let it go for 30 years at the same rate.
They own their buildings, you own the land, but read the lease to see whether or not they can rip down the buildings at the end of the lease or not.
Also, FYI, even 100 year leases allow for 'renewals", after the 100 years they could renew for another 10-20.
1.) About the lease: It depends on how the lease was written and that was probably based on her intentions and how crafty her attorney was. If it was somehow written that it was valid and enforecable only as long as she lived or if it was voidable or renogiable upon her death then you might have an out but if this is a club that she really wanted to make sure had a place to hang their hat for 100 years then it is likely that you can't do anything about it (and if that was her intention then why should you?) But do keep an eye out for any breaches of contract that could void the lease, like say, subletting.
2.) The part about who owns the buildings may also be outlined in the lease. If you want them and they leave them then they are yours but if you don't want them and they leave them then again, review the lease to see who is responsible for removing the buildings upon termination of the lease. *Note: It is usually determined by permanence and intent. If they are trailors then they will probably take them but if they are on cement foundations then they most likely intended on using them only for the 100 years and then leaving them with the land.
Usually, when someone builds something on a piece of land, it is done with a long term lease, long enough to depreciate the entire property or else, no one will build on it. Chances are the lease you have is binding to the subsequent owners/heirs. You can't get them out unless they default on the lease. We own several bank buildings that is occupied by Bank of America. They have 5 year leases with 20 renewal options.
In most cases, when someone leases your land and builds something on it, the construction becomes part of the property. When they leave, they can take their personal properties but not the lease hold improvement. You need to have a real estate attorney review your current lease. May be you can find some kind of default.
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