Is a formal transfer required for ground lease improvements?

Answer Execution of a ground lease implies permission to make improvements upon the land, including buildings, access roads and landscaping. A formal ground lease agreement should be in place to protect b... Read More »

Top Q&A For: Is a formal transfer required for ground lease ...

Does there need to be a formal transfer of ownership at the end of a ground lease?

A formal transfer of ownership is unnecessary at the end of a ground lease. A ground lease agreement does not impact the title to real estate in any manner. Ownership remains with the original titl... Read More »

Can the IRS attach a lien to ground lease improvements?

The IRS treats improvements upon ground lease property like any other security or real estate holding. The IRS can seize or attach tax liens to such improvements, subject to rules of subordination ... Read More »

Can the IRS levy on buildings affixed to a ground lease?

The IRS can only put a levy on property that is owned by the person who is delinquent in paying taxes. If a structure is on leased land but is owned by a delinquent taxpayer, then the IRS can put a... Read More »

Is ground lease rent regarded as passive income?

Yes--ground lease rent is regarded as passive income. The Internal Revenue Service states that there are only two sources of passive income: "a rental activity" or "a business in which the taxpayer... Read More »