CFR > Title 25 - Indians > CHAPTER I—BUREAU OF INDIAN AFFAIRS, DEPARTMENT OF THE INTERIOR > SUBCHAPTER H—LAND AND WATER (parts 150 to 183) > PART 162—LEASES AND PERMITS > SUBPART B—Agricultural Leases (§162.200 to §162.256) > 162.233—Who will own the improvements made under an agricultural lease?

162.233—Who will own the improvements made under an agricultural lease?

(a) An agricultural lease may specify who will own any improvements constructed by the tenant, during the lease term. The lease must indicate whether any improvements constructed by the tenant will remain on the leased premises upon the expiration or termination of the lease, providing for the improvements to either:
(1) Remain on the leased premises, in a condition satisfactory to the Indian landowners and us; or
(2) Be removed within a time period specified in the lease, at the tenant's expense, with the leased premises to be restored as close as possible to their condition prior to construction of such improvements.
(b) If the lease allows the tenant to remove the improvements, it must also provide the Indian landowners with an option to waive the removal requirement and take possession of the improvements if they are not removed within the specified time period. If the Indian landowners choose not to exercise this option, we will take appropriate enforcement action to ensure removal at the tenant's expense.