The Olmsted Terrace lease is designed to help assure that the homes remain available and affordable over time for Eligible Faculty and Staff. Following is a brief summary of some of the features of the lease. Please refer to the actual lease documentation for complete terms and conditions.
USE TERMS
- The lease term is 51 years.
- The Eligible Person must occupy the home as the principal place of residence.
- The Eligible Person may rent the home to another Eligible Person for 1 year at a time only while on an approved University leave. Other rental options are limited.
- Upon loss of eligibility or non-occupancy, the lessee must sell within 1 year.
- Upon the death of the Eligible Person, a surviving partner may occupy the home as a principal place of residence for not more than 10 years.
- Upon retirement, the retiree may occupy as the principal place of residence for not more than 10 years.
- The lessee pays ground rent to Stanford.
- The lessee also pays property taxes and premiums for hazard and earthquake insurance.
RESALE TERMS
- At the time of resale, the home must always be sold back to Stanford.
- The resale price will be the lesser of:
- A value capped by an annual rate of appreciation which is set at the time of purchase. The initial rate will be announced in Spring 2010.
- or - - A value which reflects the current market conditions.
- A value capped by an annual rate of appreciation which is set at the time of purchase. The initial rate will be announced in Spring 2010.
- A capped resale value is designed to help assure that the homes will remain affordable over time for Eligible Faculty and Staff.
For more information on how the lease affects prices, see Prices.