Legal Definition and Related Resources of Ground-rent

Rent paid for the privilege of building on another’s land. It is an interest in land distinct and <a Pronzato v Guer rina, 163 A.2d297, 400 Pa. 521. Also a grant of land to grantee and his heirs and assigns on an annual rent. See Franciscus v Reigart, (Pa.), 4 Watts. 98.

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Ground-rent in Historical Law

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English Legal System: Ground Rent

In the context of the English law, A Dictionary of Law provides the following legal concept of Ground Rent : A rent reserved by a long lease of land. For example when a house or flat is sold on a lease for 99 years, the lessor may reserve a small annual rent payable throughout the term as well as the capital price payable on the grant of the lease. In essence, a ground rent ignores the value of the buildings on the land. Building leases (*building lease) are sometimes granted in return for a ground rent rather than a capital sum.