Ground Lease and Suggestions for Mitigating the Qualitech Quagmire

Spring 2008
News & Publications
California Real Property Journal, Spring 2008, Volume 26, No. 2

Adam Weissburg and Adriana Vesci co-authored this article. 

Article Summary:  The successful development of commercial property under a ground lease structure often depends in large part on whether the ground lease is financeable, including whether the ground lease is drafted to reduce the risks to leasehold lenders raised by the controversial 2003 7th Circuit decision, Precision Indus., Inc. v. Qualitech SBQ, LLC. Obtaining lender-friendly concessions from the ground lessor to make a ground lease financeable may help to convert a fragile set of possessory rights into a solid and reliable asset for a real estate develope

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