Section 410

Ground Leases

If the BorrowerBorrowerPerson who is the obligor per the Note. owns a LeaseholdLeaseholdProperty held under a long-term lease or Ground Lease. interest in the PropertyPropertyMultifamily residential real estate securing the Mortgage Loan, including the fee simple or Leasehold interest, Improvements, and personal property (per the Uniform Commercial Code). , the ServicerServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. must:

  • ensure that the BorrowerBorrowerPerson who is the obligor per the Note. complies with all provisions of the Loan DocumentsLoan DocumentsAll Fannie Mae-approved documents evidencing, securing, or guaranteeing the Mortgage Loan. that relate to the Ground LeaseGround LeaseContract for the rental of land, usually on a long term basis. ;
  • if the Ground LeaseGround LeaseContract for the rental of land, usually on a long term basis. payments are escrowed, collect monthly payments from the BorrowerBorrowerPerson who is the obligor per the Note. to ensure sufficient funds will be available to pay the ground rents and any special payments required by the Ground LeaseGround LeaseContract for the rental of land, usually on a long term basis. ; and
  • hold any escrowed ground rent payments with the Borrower’sBorrower’sPerson who is the obligor per the Note. other T&IT&ITaxes or assessments that may become a Lien on the Property and insurance premiums. escrow funds in a T&I Custodial AccountT&I Custodial AccountCustodial Account for the deposit of T&I and other impound escrow funds. or a separate Custodial AccountCustodial AccountAccounts established by the Servicer for depositing P&I payments, T&I funds, Collateral Agreement deposits, and other similar funds. that meets all requirements of Part V, Chapter 3: Custodial Accounts.

The ServicerServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. is responsible for any losses incurred by Fannie Mae if the ServicerServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. fails to make timely ground rent payments.  The ServicerServicerPrimary Person servicing the Mortgage Loan, including the originator, seller, or a third party. must immediately submit a Non-Monetary Default Borrower Request in the MAMPMAMPMultifamily Asset Management Portal used to submit Property inspections, operating statements, requested modifications, asset management reports, and data corrections for loan or property attributes. for any Ground LeaseGround LeaseContract for the rental of land, usually on a long term basis. default.