Senate Initiative Proposes 99-Year Private Land Leases with Added Protections for NMD Landowners

SAIPAN – Senator Manny Gregory T. Castro (D – Saipan) has introduced Senate Legislative Initiative 24-03, a proposed constitutional amendment to extend the maximum term of private land leases in the Northern Mariana Islands from 55 years to 99 years.

The measure seeks to amend Article XII, Section 3 of the CNMI Constitution, and to add a new Section 7 requiring financial protections for persons of Northern Marianas Descent (NMD) in lease agreements.

Lawmakers cited concerns that the current 55-year lease term may discourage long-term investment and infrastructure development. Extending the term to 99 years, they argue, would promote economic stability, attract investors, and encourage sustainable development in the Commonwealth.

At the same time, the initiative emphasizes safeguards for indigenous landowners. Under the proposal, all private land lease agreements involving NMD landowners would be required to include enforceable financial clauses. These include provisions for fixed annual rent, profit- or revenue-sharing based on the commercial use of land, and periodic review and renegotiation every 20 years to account for economic changes.

The initiative also calls for lease agreements to be filed with the Commonwealth government for compliance and transparency, and for laws to be enacted to set minimum rent and revenue standards, define valuation methodologies, and resolve disputes.

If adopted by the Legislature with the required three-fourths vote in each chamber, the proposed constitutional amendment would be placed before the people of the CNMI for ratification in accordance with Article XVIII, Section 5 of the Constitution.

The initiative was signed by Senator Castro and reviewed for legal sufficiency by the Senate Legal Counsel.

NMI News Service