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Commonly Asked Questions about Residential Leases Packages

A fixed-term lease is the most traditional lease. Theyre called fixed term because tenants and landlords are agreeing to abide by the lease for a fixed amount of time, normally six to 14 months.
A gross lease, also known as a full-service lease, is one of the most common type of commercial lease. In this type of lease, the landlord is responsible for paying all or most of the property operating expenses, such as utility costs, electricity costs, property taxes, and common area maintenance costs.
Gross Lease Gross leases are most common for commercial properties such as offices and retail space. The tenant pays a single, flat amount that includes rent, taxes, utilities, and insurance.
Gross Lease Gross leases work well if you are renting office space or retail space in a mall. The lease is calculated to include your share of all of the common operating costs of the space. In other words, your rent will include a prorated share of real estate tax, utilities, building insurance and janitorial costs.
A fixed-term lease is great for landlords and tenants because they both can predict and rely on the fixed rental cost every month. Its still possible to cancel a fixed-term lease, however, the tenant may end up paying a penalty for breaking the agreement.
Net leases A triple net lease, sometimes known as an NNN lease, is the most common type of commercial lease. A triple net lease is a lease whose monthly rent fee does not include operating expenses. Typical operating expenses include insurance, utilities, property taxes and maintenance costs.
A gross lease, or a full-service lease, is the most common type of lease. A gross lease has a predetermined rent that covers costs associated with owning the property, including things like tax, building insurance, and maintenance.
By far, the most common lease for retail tenants is the percentage lease. In a percentage lease, the retail building owner takes a percentage of their tenants sales. Anchor tenants have some negotiating power with these kinds of leases.