99-year lease by pc10201


									99-year lease
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A 99-year lease was, under historic common law, the longest possible term of a lease of real property. It is no longer the law
in most common law jurisdictions today, yet 99-year leases continue to be common as a matter of business practice and
conventional wisdom.

 1 The law
 2 Historic examples
 3 Contemporary examples
 4 References
 5 See also

The law
Under the traditional American common law doctrine, the 99-year term was not literal, but merely an arbitrary time span
beyond the life expectancy of any possible lessee or lessor.[1][2]
In the law of several US states, a 99-year lease will always be the longest possible contract for realty by statute, but many
have enacted shorter terms and some allow infinite terms. [3]
The 99-year lease concept has been more common under the civil law regimes when it comes to concessions of territory:
most concessions last for 99 years. [citation needed]

Historic examples
The British famously had a 99-year lease, or concession, to Hong Kong New Territories from China from 9 June 1898 to 1
July 1997. [4]
The Guantanamo Bay Naval Base started as a 99-year lease in 1903 from the first president of Cuba to the United
States. [5][6]
The Lend-Lease program of the 1940 was enabled by 99-year lease of British bases on several islands (Gander International
Airport in Newfoundland) by the Destroyers for Bases Agreement.[citation needed]

All land in Canberra and The Australian Capital Territory in Australia is held by tenure under 99 year lease provisions. [7]
The land under the city of Salamanca, New York has been held under 99-year leases.

Contemporary examples
The Salvador Dali Museum in St. Petersburg, Florida secured a 99-year lease in 2007. [8]
Highway 407 in Toronto, Ontario was leased to a consortium of investors under a 99-year lease in 1999.
Via Silverstein Properties and Westfield America, Larry Silverstein made a $3.2 billion bid on the World Trade Center in
January 2001. Silverstein was outbid by $50 million from Vornado Realty. However, Vornado soon withdrew and the World
Trade Center was secured by Silverstein on 24 July 2001. The lease agreement applied to One, Two, Four, and Five World
Trade Center, and about 425,000 square feet (39,500 m2) of office space. Upon leasing the properties, Silverstein insured the
World Trade Center, and after the 11 September attacks which totally destroyed the property including Six and Seven World
Trade Center, Silverstein sought for $7.1 billion (two times the insured price) after the destruction because the two plane
crashes were interpreted as "two occurrences". [citation needed]

  1. ^ Mortgage News Daily web site article on a 99-year            Sociales, 1998).
     lease . Accessed 20 February 2008.                          6. ^ Hansen, Jonathan (10 January 2012). "Give Guantánamo
  2. ^ Cecil Adams, Why are leases made for 99-year terms?, 22      Back to Cuba" . New York Times. Retrieved 11 January
     July 1977, found at The Straight Dope article on 99-year       2012.
     lease . Accessed 20 February 2008.                          7. ^ Grants of Leases linked from the ACT Planning & Land
  3. ^ Law Office of James Kaklamanos web site page on 99-          Authority .
     year lease . Accessed 20 February 2008.                     8. ^ Donna Winchester, Dali Museum gets 99-year lease: Its
  4. ^ "British History Timeline" . BBC. 2005. Retrieved 21         new building will go up on St. Petersburg's downtown
     February 2008.                                                 waterfront, St. Petersburg Times, 30 November 2007. Found
  5. ^ Olga Miranda Bravo, Vecinos Indeseables: La Base             at Dali Museum gets 99-year lease article from St.
     Yanqui en Guantánamo (La Habana: Editorial Ciencias            Petersburg Times . Accessed 20 February 2008.

See also
  Larry Silverstein
  Rule against perpetuities
  999-year lease
  Australian Capital Territory

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