I disagree. I have developed several commercial properties on leased land and have noticed little to no different on the perm. loan rates. On a 99 year lease, there is no loss in property value after 30 years. It’s only when you get down to 20, 15, 10 years remaining on the ground lease that is becomes an issue. The last deal I did was a 30k sf retail project on a ground lease to the City of San Diego expiring in 60 years. The perm. loan rate was at market.

It might be completely different for residential housing but I doubt it. There are several residential projects in San Diego (Blackstone comes to mind) that are on long term leases that I know people have gotten typical loan rates on.