Leasing Tribal Trust Land. To receive a loan guarantee on tribal trust lands, the borrower must establish a leasehold interest in the land on which the home will be located.

Leasehold documents

Below is a link to a standard lease form that has been approved by the Bureau of Indian Affairs (BIA) for use on tribal trust land. This sample lease form contains certain provisions that are required to be included in leases for trust and restricted land used as collateral for the Section 184 Program.

Interagency Lease and Lending Procedures Residential Lease of Tribal Owned Land Form (MS Word, 6 pages)

Lease modifications

Modifications to the lease form can be made with the approval of the BIA and the Office of Native American Programs (ONAP). No lease modification may serve to obstruct the right of the Department and/or evict the borrower or foreclose on, or sell the property in the event of foreclosure.

Parties to the lease

The lease must be executed by the Tribe, the borrower, and approved by the BIA.

Leasehold payments

Payments, if any, are negotiated between the tribe and the borrower.

Lease transfers and assignments

The tribe, HUD/lender must approve all transfers or assignments of the leasehold interest, except foreclosure.

Lease status at foreclosure

HUD or the lender may assume title to the leasehold interest without tribal approval of such transfer. However, anyone who subsequently purchases or rents the leasehold property must be approved by the tribe, HUD/Lender.

Termination

The lease may not be terminated, while the Section 184 guarantee is in effect. Likewise, in the event of foreclosure, the lease will not be subject to any forfeiture or reversion and will not be otherwise subject to termination.