{"ok":true,"canonical_url":"https://dealroom.so/glossary/leasehold-interest","api_url":"https://dealroom.so/api/public/glossary/leasehold-interest","data_freshness":{"sba_records_through":"2026-05-31","fdic_records_through":"2026-03-31","dealroom_last_updated":"2026-06-15","timezone":"America/Chicago"},"source_summary":["Public SBA 7(a) loan records","FDIC institution data","DealRoom lender and franchise enrichment"],"term":{"slug":"leasehold-interest","term":"Leasehold Interest","group":"Reading the business","definition":"This is your right to possess and use a property for a defined period under a lease agreement. It's an asset, even if you don't own the real estate.","what_it_means":"When acquiring a business that leases its space, evaluating the existing leasehold interest is vital. You need to ensure the lease term is long enough (often matching your loan term plus options) and that it's assignable to you. A strong leasehold interest can be valuable collateral for your SBA loan.","url":"https://dealroom.so/glossary/leasehold-interest","official_sources":[{"slug":"sop-50-10","title":"SOP 50 10 — Lender and Development Company Loan Programs","official_url":"https://www.sba.gov/document/sop-50-10-lender-development-company-loan-programs","official_label":"View on SBA.gov","authority_tier":2,"publisher":"U.S. Small Business Administration","source_guide_url":"https://dealroom.so/sba-7a/sources/sop-50-10"}],"related":[{"slug":"lease-agreement","term":"Lease agreement","url":"https://dealroom.so/glossary/lease-agreement"},{"slug":"landlord-consent","term":"Landlord Consent","url":"https://dealroom.so/glossary/landlord-consent"},{"slug":"assignability","term":"Assignability","url":"https://dealroom.so/glossary/assignability"},{"slug":"leasehold-mortgage","term":"Leasehold Mortgage","url":"https://dealroom.so/glossary/leasehold-mortgage"}],"related_questions":[{"question":"When is a leasehold mortgage acceptable as collateral for an SBA 7(a) loan?","url":"https://dealroom.so/for-lenders/questions/when-is-a-leasehold-mortgage-acceptable-as-collateral-for-an-sba-7-a-loan"},{"question":"Can an SBA loan finance leasehold improvements for a business operating in leased premises?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-loan-finance-leasehold-improvements-for-a-business-operating-in-leased-premises"},{"question":"Can an SBA 7(a) loan finance significant leasehold improvements for a business being acquired?","url":"https://dealroom.so/sba-7a/questions/can-an-sba-7-a-loan-finance-significant-leasehold-improvements-for-a-business-being-acquir"},{"question":"Can I finance a significant leasehold improvement project with my SBA 7(a) acquisition loan?","url":"https://dealroom.so/sba-7a/questions/can-i-finance-a-significant-leasehold-improvement-project-with-my-sba-7-a-acquisition-loan"},{"question":"What triggers the need for an Environmental Questionnaire (SBA Form 1081) for a leasehold improvement loan?","url":"https://dealroom.so/for-lenders/questions/what-triggers-the-need-for-an-environmental-questionnaire-sba-form-1081-for-a-leasehold-im"},{"question":"Can an SBA 7(a) loan cover leasehold improvements for a business operating in leased premises?","url":"https://dealroom.so/sba-loans/basics/can-an-sba-7-a-loan-cover-leasehold-improvements-for-a-business-operating-in-leased-premis"}]},"caveats":["Definitions represent DealRoom's plain-English interpretation for buyers; verify regulatory terms against the official SBA and eCFR sources listed.","Not legal, tax, or financial advice, and not an SBA eligibility determination."],"citation":{"label":"DealRoom.so Glossary — Leasehold Interest","url":"https://dealroom.so/glossary/leasehold-interest","source_type":"DealRoom Data"}}