We recently had a client who was interested in purchasing a condo in the Laguna Lido complex in Laguna Beach. The listing had mentioned that the condo was on a leasehold interest. The listing broker remarks on the listing goes on to say that the "Sellers (Lessees) have the LEASE HOLD Interest until 2059". It goes on to say that the "Lessee pays for HOA, Annual Lease fee of $11,643,21. plus Taxes, Insurance and Utilities. At the end of lease Term, Lease Hold Interest reverts back to Lessor." Our client wanted to get more information on this since they thought they say some other listings in the Laguna Lido that did not have leasehold interest so we did some checking. After reviewing previous listings in this complex we noticed a fair number of units that had leasehold interest so we wanted to know the back story on this.
We decided to call the Laguna Lido homeowners association which were very helpful. It was roughly explained to me that approximately 18 or 19 years ago the Laguna Lido did a condo conversion from a co-op to individually condo owners and that before the co-op these were apartments. They also told me that owners were given the option to purchase the unit with the land which some of them decided to do. There were others that did not so the owner of the building offered to buy those and then do a leasehold interest back to them until the year 2059. That's why you see some condos in this building with this stipulation in the listing. This was my understanding from the phone call with the association but further details can be obtained by calling them direct at 949-499-2835. They were very pleasant to deal with. We have listed the current available Laguna Lido condos here. Feel free to give any of our local Laguna Beach Real Estate agents a call at 949-355-1622 and we can check whether the condo has lease hold interest or not.