Definition: A lease on undeveloped land or a lease covering the land but not improvements. Usually a net lease. identifies whether the property is encumbered by a ground lease. Ground leases may be subordinated or unsubordinated. Subordinated Ground lease - A lease in which rights of the lessor of the ground are junior to the rights of the holder of the first mortgage. Unsubordiated Ground lease - A lease in which rights of the lessor of the ground are senior to the rights of the holder of the first mortgage.
