A more thorough explanation:

Definition: Redeemable ground rent is a type of rent paid by a tenant under a long-term lease for the use of undeveloped land, usually for the construction of a commercial building. It is also a heritable interest in rental income from land, reserved by a grantor who conveys the land in fee simple. This type of ground rent is found primarily in Maryland and Pennsylvania.

Example: A company leases a piece of land for 99 years to build a shopping mall. The lease agreement includes a provision for the payment of a redeemable ground rent to the landowner. The company pays the ground rent annually, and at the end of the lease term, the landowner has the option to redeem the ground rent and take back ownership of the land.

Explanation: The example illustrates how a tenant can pay a redeemable ground rent to a landowner for the use of undeveloped land. The ground rent is paid annually and can be redeemed by the landowner at the end of the lease term. This type of rent is commonly used in long-term leases for commercial properties.