Lease Subordination Agreement - Delaware: Fill out & sign online

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Click ‘Get Form’ to open the Lease Subordination Agreement in the editor.
Begin by filling in the 'State' and 'County' fields at the top of the form. This information is crucial for identifying the jurisdiction of the agreement.
Next, enter the names of the Lessor, Lienholder, and Lessee in their respective fields. Ensure that these names are accurate as they represent all parties involved.
Input the 'Effective Date' of this agreement. This date signifies when the terms become active.
In the section describing the lands covered by the Mortgage/Deed of Trust, provide a detailed description of these lands to avoid any ambiguity.
Fill in details regarding the Mortgage/Deed of Trust, including its date and where it is recorded. This ensures clarity on existing liens.
Finally, have the Lienholder sign and date at the bottom of the form. This signature validates the agreement and should be done after reviewing all entries for accuracy.

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What are the requirements for a subordination agreement?

For landlords, a subordination agreement can facilitate tenant financing, which can lead to property improvements and increased property value. However, it also means that the landlords claim on the property is secondary to the lenders, which can pose risks in the event of a foreclosure.