with a cola or CPI increase annually beginning at 3.4%
Only 10 were offered. It is unknown how many owners responded.
Current leases expire in 2025 and are valued at only 650 dollars/yr.
How much this new deal will increase the value of each property is unknown.
The family owned Rehoboth-By-The-Sea Realty Company started developing this land in 1925. Sales were slow in the early years, and so in the late 1950â€™s and early 1960â€™s the company offered non-renewable land leases. Land was leased for, on average, 60 years. Many of the current leases will expire prior to 2025. In fact these land leases require the home owner to remove the improvements and leave the land in its original level and unimproved condition at the end of the lease. The lease payments are low, and with a typical beach block cottage in Rehoboth by the Sea the costs can be less than $1,000 per year.
Rehoboth-By-The-Sea Realty Company has selectively offered new leases, and sells land to help maintain property values. Do not get too excited because sales are only considered at full market value, and only on a very few lots each year. Today, the home owners know that their time is running out. The closer to the end of the term the more likely Rehoboth-By-The-Sea Realty Company will have plans for the land at the end of the lease.
Your percentage question is dealing with real estate information that appears not to be related to buying or selling.
care to give more details on why you are interested in that information?