So it is basically a fixed "interest" leasehold market. Here the bank and leaseholders are the landlords but only in name only. So the money is in the land really and the option to build which is retained by the leaseholder. The bank is betting on the interest. If you borrow 20k at 100 years you end up paying $80,685.50 in interest. I guess there must be some magic number somewhere that makes this work nor why you don't have appreciation ... I guess because newer and better keeps being built.
