Mortgage of leasehold right/property
Kalpesh
(Querist) 22 October 2013
This query is : Resolved
Pl.let us know if there is any difference between mortgaging leasehold right and mortgage of leasehold property ?
If lessor has availed finance for putting up some projects in leasehold property and if bank is asking for mortgage of leasehold property. I want to understand in mortgage document will the actual owner (Lessee) be party or the mortgage document will be signed between bank and Lessor only.
Secondly, in the event of default, can bank exercise their leasehold right under SARFASEI Act or they have to resort to Civil court?
malipeddi jaggarao
(Expert) 23 October 2013
Mortgage of lease-hold rights and lease-hold properties are one and the same.
For mortgaging the lease-hold property, original owner will not come into picture. Whether the lease permit such mortgage or not will be verified.
SARFASEI Act is applicable if interest in the property is mortgaged to the Bank.
Raj Kumar Makkad
(Expert) 23 October 2013
There is no difference between the given words. Both represent the same situation.
