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Gross Lease
A gross lease is a type of commercial lease where the tenant pays a flat rental amount, and the landlord pays for all operating expenses regularly incurred by the ownership, including taxes, electricity and water. Most apartment leases resemble gross leases. The term "gross lease" is distinguished from the term "net lease In the field of commercial real estate, especially in the United States, a net lease requires the tenant to pay, in addition to rent, some or all of the property expenses that normally would be paid by the property owner (known as the "landlord" ...". Types of gross leases Modified Gross (MG) In a modified gross lease, tenants typically pay a proportional share of operating expenses. Full-Service Gross (FSG) In a full service gross lease, outgoings (operating expenses) are paid by the landlord, but are imputed into the price of the lease. References * ''Principles and Practices of New Jersey Real Estate'' 6th Ed by Frank W. Kovats, DREI. Renting [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
Lease
A lease is a contractual arrangement calling for the user (referred to as the ''lessee'') to pay the owner (referred to as the ''lessor'') for the use of an asset. Property, buildings and vehicles are common assets that are leased. Industrial or business equipment are also leased. Basically a lease agreement is a contract between two parties: the lessor and the lessee. The lessor is the legal owner of the asset, while the lessee obtains the right to use the asset in return for regular rental payments. The lessee also agrees to abide by various conditions regarding their use of the property or equipment. For example, a person leasing a car may agree to the condition that the car will only be used for personal use. The term rental agreement can refer to two kinds of leases: * A lease in which the asset is tangible property. Here, the user '' rents'' the asset (e.g. land or goods) ''let out'' or ''rented out'' by the owner (the verb ''to lease'' is less precise because it can r ... [...More Info...] [...Related Items...] OR: [Wikipedia] [Google] [Baidu] |
