Has anyone ever dealt with a ground lease?
I just received a $20M verbal offer from a well known commercial Realtor to lease one of my properties for 50 years. It's higher and longer than their last offer of $15M over 25 years. They are bringing their client into Austin to meet with me next week to present a formal offer. It sounds like a lot of money, but somehow, I feel like I'm going to end up with the short end of the stick...I have to live to be almost 107 years old before I could do anything with the property...that's not very likely. My kids would be in their mid 80's by the end of the lease, so I guess SCORE for our grandkids! Today the property is worth around $7M, so it seems like the ground lease should be higher to me. It's a decent amount of income, so I'd like to not screw this deal up. Any advise would sincerely be appreciated.