Legal Question in Real Estate Law in Pennsylvania

Re: Land leases

I don't see why not. The real question might not be can you, but should you? I certainly wouldn't do such a deal without a whole lot of due diligence on the prospective tenant and its credit and its plans.

Keep in mind that some very long term leases are treated as sales for purposes of Prop. 13 reassessment.

There would be a host of technical lease-drafting needs to consider, such as the tenant's environmental responsibilities.

You need a good real-property contract or lease lawyer and probably tax and accounting advice too.

Finally, the ability of the tenant to borrow to build, when it doesn't own the land in fee, needs to be researched by someone; you should at least make sure the tenant isn't going to flake on you after 6 months because it can't get a construction loan.