Form 5-1: Selected Amendments to Standard Long-Form Purchase Offer to Create a Letter of Intent to Enter into Site Ground Lease; Extensive Exhibit: “Summary of Ground Lease Terms”
Use with Form 4-1; Replaces key paragraphs in Form 4-1 to make it a Site Ground Lease Proposal
(8 pages)
$25
Form addresses:
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Key Paragraphs to be revised.
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Title.
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Summary of Ground Lease Terms (defines Construction Term, Completion Term and Remainder Term) and rent payable during such periods.
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Possible upward or downward adjustment of minimum annual rent.
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"Bonus Rent": ground lessor's participation in gross rent stream above a floor (preferred) OR ground lessor's participation in net cash flow (much less frequently used).
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Purchase option rights (alternatives).
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Right of First Refusal.
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Real estate taxes and insurance.
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Leasehold mortgage.
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Assignment rights.
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Non-recourse provision.