10Options relating to land.N.I.
(1)The rule against perpetuities shall not apply to a disposition consisting of the conferring of an option to acquire for valuable consideration an interest reversionary (whether directly or indirectly) on any lease if—
(a)the option is exercisable only by the lessee or his successors in title; and
(b)it ceases to be exercisable at or before the expiration of one year following the determination of the lease.
(2)Subsection (1) shall apply in relation to an agreement for a lease as it applies in relation to a lease, and “lessee” shall be construed accordingly.
(3)In the case of a disposition consisting of the conferring of an option to acquire for valuable consideration any interest in land (other than such a disposition as is mentioned in subsection (1)), the perpetuity period under the rule against perpetuities shall be twenty-one years, and section 1 shall not apply.