Part One of a Two-Part Article This article outlines the basic elements of an SNDA and will explain the differences between the concepts of "non-disturbance" and "recognition," while contending that lease recognition is more important to the tenant than not having its possession disturbed.
James O'Brien
The subordination, non-disturbance and attornment agreement (SNDA) is common to most commercial leasing and real estate financing transactions. The SNDA regulates two competing interests in the same property — tenant's right to possess its premises pursuant to its lease and mortgage lender's security interest in that same premises.
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