Appendix B-1: Long-Form Letter of Intent to Enter into Site Ground Lease
Similar to Form 4-1, long-form fee purchase of shopping center site, but provides for ground leasing of shopping center site for development
(18 pages)
$30
Major deal points in this comprehensive ground lease proposal includes:
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Parties.
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Consideration (attached exhibit of outlining ground lease rental terms).
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Site.
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Adjacent property escrow (optional).
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Title search and document delivery to tenant.
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Contingencies (title, feasibility, major tenant commitments, entitlements, soils tests, hazardous materials investigation and twelve additional optional contingencies).
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Contingency approval periods.
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Entitlements.
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Tenant's reasonable due diligence.
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Escrow; escrow fees and closing costs.
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Escrow extensions.
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Tenant's termination right.
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Landlord's termination right.
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Hazardous materials (alternative clauses allocating costs between landlord and tenant).
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Entry.
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Marketing signs.
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Assignment.
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Condemnation prior to closing.
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Title.
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Brokerage commissions.
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Tenant's default: liquidated damages (landlord's exclusive remedy is to retain amounts theretofore paid to escrow holder or released to landlord).
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Non-binding.
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Time limit of proposal.
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Confidentiality and good faith.