Property Valuation

In Hawaii, a property with a ground lease has a 'leased fee interest.' This is:

AA. The tenant's right to use the property under the lease
BB. The landlord's ownership interest in land subject to a lease, including the right to receive rent and reversion✓ Correct
CC. The bank's interest in the leased property
DD. The value of the improvements built on leased land

Explanation

The leased fee interest is the landlord/lessor's ownership position in leased property—the right to receive rents during the lease and the right to eventual reversion of the property.

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