Some morgage sources will not provide financing for land lease properties.
It is also used when a developer of a condominium keeps the recreational facilities and leases it to the unit owners. This also keeps the value of condos lower. When possible the association buys the lease out and takes control.
My experience is in Ohio and Florida. In all cases when considering a property with a land lease you should consult a real estate attorney in the area where the property is located.