5 Questions
How can the leasehold estate be valued if the lease is shorter than 10 years?
Total annual rent, including renewals, plus the cost of improvements
In what situation does the title insurance coverage continue without needing a new owner's policy?
When there is a change in corporate structure
What defines the insured in a commercial transaction according to the text?
Successors on Schedule A
What method is suggested for valuing a leasehold estate if it is longer than 10 years?
10 years multiplied by the average annual rent, plus the costs of improvements
In what situation would it be unnecessary to obtain a new owner's policy as described in the text?
When the insured entity merges with another company.
Explore the concept of valuing a leasehold estate compared to a fee-simple situation. Understand how the value of a lease declines over time and how to assess it based on the remaining years. Learn about the considerations for providing insurance on a lease.
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