SCHEDULE 5Compensation
Basis on which compensation is assessedI16
1
The rules set out in Article 6 of the Land Compensation (Northern Ireland) Order 198256 (rules for assessing compensation) have effect, so far as applicable and subject to any necessary modifications, for the purpose of assessing any compensation as they have effect for the purpose of assessing compensation for the compulsory acquisition of an interest in land.
2
Where the relevant interest in respect of which any compensation is to be assessed is subject to a mortgage—
a
the compensation shall be assessed as if the interest were not subject to the mortgage;
b
no compensation is payable in respect of the interest of the mortgagee (as distinct from the interest which is subject to the mortgage); and
c
any compensation payable in respect of the interest that is subject to the mortgage shall be paid to the mortgagee or, if there is more than one mortgagee, to the first mortgagee and shall, in either case, be applied as if it were proceeds of sale.