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Bajayan
Junior Nomad
Posts: 28
Registered: 5-13-2011
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How does land leasing work in Baja?
Does anyone know the particulars of leasing land in Baja? Specifically from a corporation with clear title? Are there time limits, can it be
structured to be perpetually renewable, or renewable for 50 or 100 years if the use meets a certain condition? Anything else one should know?
There is land potentially available for lease, and the intent would be to build on it. Anyone building on it would of course want their structures to
be protected by the lease for a long time, while the owners want to make sure the land is being used within certain usage based guidelines or else
they'd want to end the lease. Do the laws allow for both sides to be fairly protected?
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DENNIS
Platinum Nomad
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Nothing renewable, no matter what anyone says. A lease can be written for no longer than ten years...minus one day. After that it's up to the
parties to renew. Nothing other than that is enforceable in court.
For the protections you seek, you should probably hire an attorney who will write a binding lease and take it to a Notario.
Also...you should ask your attorney who your new structures belong to at lease end. And, don't hire the landlords nephew if he claims to be an
attorney.
.
[Edited on 12-28-2014 by DENNIS]
"YOU CAN'T LITTER ALUMINUM"
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Bajayan
Junior Nomad
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So there really cannot be any guarantee on a permanent building beyond ten years?
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MMc
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First rule of buying or leasing land in Mexico, never spend more then you can walk away from. Second rule live where you want for six months so you
can get the lay of the land. I have had 2 places in Baja Norte, both on leases, they are the perfect way to lose it all, (see first rule). I would do
again too.
"Never teach a pig to sing it frustrates you and annoys the pig" - W.C.Fields
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DENNIS
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None that I'm aware of. It's possible corporations may be held to different regulations in the interest of promoting investment, but until you form a
corporation, the ten year rule applies.
Be very careful when you are approached with an alternate plan as you probably will be.
Again...as I mentioned above...get an attorney, and be very careful of his/her connections. Blood is thicker than most anything down here.
Also...avoid real estate agents. They lie and play by their own rules.
"YOU CAN'T LITTER ALUMINUM"
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bajaguy
Elite Nomad
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Mood: must be 5 O'clock somewhere in Baja
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Why would you spend your money building a house on property you don't own or control??? Rent......you will be happier
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Bajayan
Junior Nomad
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Hmm, so anyone know more about whether corporations can lease for over 10 years?
If that's a possibility, then I could work out the other issues raised here...
[Edited on 12-28-2014 by Bajayan]
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yellowklr
Senior Nomad
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DONT do it
unless you have a structure you can take with u
Derek
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woody with a view
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have hitch, will travel!
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MMc
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Building on a lease is the perfect way to lose your investment. If you can't take it with you, You could very easily lose the building or get paid a
fraction of what is worth at the end of the lease. Go rent where you want to build and get the lay of the land. You way very well trust the owner,
what happens when he dies and you are dealing with the kids?
"Never teach a pig to sing it frustrates you and annoys the pig" - W.C.Fields
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DENNIS
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Bajayan.......I think you're bound and determined to do what you want to do here.
Best of luck in your adventure.
.
[Edited on 12-29-2014 by DENNIS]
"YOU CAN'T LITTER ALUMINUM"
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DianaT
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Quote: Originally posted by DENNIS |
Bajayan.......I think you're bound and determined to do what you want to do here.
Best of luck in your adventure.
.
[Edited on 12-29-2014 by DENNIS] |
Yes, --- welcome to the forum and good luck. I hope it works for you.
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Bajayan
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I do actually appreciate the warnings and general advice, but I would also really appreciate if anyone knew what the laws are regarding leasing terms
from a corporation.
I'd only be interested in looking further into this if the legal situation made sense, and if 10 years is the maximum for leasing land from a
corporation, I can't really see a way in which it would make sense.
[Edited on 12-30-2014 by Bajayan]
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durrelllrobert
Elite Nomad
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How does land leasing work in Baja?
I'll let you know in July when my 10th year of leasing ends.
Bob Durrell
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DENNIS
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Quote: Originally posted by Bajayan |
I'd only be interested in looking further into this if the legal situation made sense, and if 10 years is the maximum for leasing land from a
corporation, I can't really see a way in which it would make sense.
[Edited on 12-30-2014 by Bajayan] |
The issue mentioned wasn't "leasing FROM a corporation." It was leasing FOR a corporation for business purposes.
"YOU CAN'T LITTER ALUMINUM"
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Sweetwater
Senior Nomad
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Mood: chilly today hot tomale
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Quote: Originally posted by Bajayan | I do actually appreciate the warnings and general advice, but I would also really appreciate if anyone knew what the laws are regarding leasing terms
from a corporation.
I'd only be interested in looking further into this if the legal situation made sense, and if 10 years is the maximum for leasing land from a
corporation, I can't really see a way in which it would make sense.
[Edited on 12-30-2014 by Bajayan] |
It seems you've gotten information that you don't really want....and very often folks tend to go into denial and do what they want anyway. I think
Dennis has given you the information, not much left except to also wish you good luck.
Everbody\'s preachin\' at me that we all wanna git to heaven, trouble is, nobody wants to die to git there.-BB King
Reality is what does not go away when you stop believing in it. -Philip K Dick
Nothing is worse than active ignorance. Johann Wolfgang von Goethe(1749-1832, German writer, artist and politician)
When choosing between two evils, I always like to try the one I\'ve never tried before. - Mae West
Experience is what keeps a man who makes the same mistake twice from admitting it the third time around.
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Bajayan
Junior Nomad
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Hi Dennis - actually my question starting with my original post has been specifically about leasing "from" a corporation. It sounds like there's a
strict 10 year limit on leasing from an individual (natural person), and it seems likely to be the same for leasing from a corporation, but just
hoping someone might know for certain. Perhaps you know if there's any difference?
Hi Sweetwater - thanks for the kind wishes. Trust me I won't go into denial, I just think there's a finer point of law I want to clarify if possible.
Durrelllwater, what can I say except good luck!
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CaboMagic
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Bajayan - welcome to the forum. I don't know 'the' only answer to your question .. I do know however, that 'an' answer - can/will change depending
upon (And not just not limited to the following) (1) Where said land leasing might be taking place and (2) From whom (be it individual or
corporation.) Because when a family member dies, other family members may fight about 'their land' and what ensues has the potential to take
everything 'you' may have on said parcel .. this being just one possible scenario of course. You may have a wonderful experience - these things
can/do happen as well. As an example, ejido property often has layers of issues ...
Lots of regular posters on this and any other 'Mexico' forum often say "Don't invest more than you can afford to walk away from" This is a
frighteningly true statement. Some cant afford to walk away, and thus become stuck.
From experience with 'legal issues' in Mexico (Cabo) almost nothing makes sense - and for us, those finer points of law translated to 'more dinero to
research that .. present that .. respond to. The level of inconsistencies, scrambled system of 'next' (mordida) can be (was) mind-blowing. Days
became years in the blink of an eye.
Not to dissuade you from your undertaking, as I am a firm believer that dreams can and do come true - just fair warning that things are not be as they
seem, and once 'in' it may be extremely difficult to get 'out' of legal issue quicksand ..
Whatever you do, thanks in advance for continuing to post on this forum. Many 'lurk' for due diligence and can benefit from the experience sharing
that you do.
Peace, love and definitely fresh fish tacos for all. LG
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DENNIS
Platinum Nomad
Posts: 29510
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Location: Punta Banda
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Bajayan.....I hesitate to answer your question only because interpretation of the law down here can have many variables.
That said....I again suggest consulting an attorney. Just find one you think you can trust. That can be a whole other can of worms.
Would you mind giving us a few more details, such as area.....your purposes with the land, and most important, is an ejido involved in any way? It
may prompt some insight from other Nomads which you could use.
"YOU CAN'T LITTER ALUMINUM"
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Bajayan
Junior Nomad
Posts: 28
Registered: 5-13-2011
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Thanks Dennis and CaboMagic, I will speak to a lawyer (or notary?) on my next trip, which I hope to make soon. If this is still on the table at that
time.
There is no ejido involved in any way. As I said, there is clear title, held by a corporation, and this specific land is in Bahia San Quintin.
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