Quote:
Originally Posted by Kapten
About 1/3 of the leaseholds are market strata properties. It is already somewhat difficult to get leasehold financing (more down payment needed, fewer lenders) but I think it's getting harder for some buyers to get financing due to the uncertainty.
If the leaseholds on these buildings is not renewed, can the city order demolition ... Even of it only owns the land and not the buildings?
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If the leases expire, building ownership reverts to the land owner. That's why buying leasehold interests are a fool's game, as they are a depreciating asset and people seem to overpay, overlooking that aspect, until it's too late. The only exception are leasehold interests with options to renew.