Gross Lease

Gross lease is a type of real estate lease in which the landlord agrees to assume all the financial burdens (e.g. taxes, utilities, insurance and repairs) that are associated with the ownership of the property. This type of lease is often used in commercial properties such as single and multi-tenant office buildings, retail properties and industrial facilities.

 Lease Contract

Under this contract, the tenant pays a fixed amount of rent, and the landlord will take responsibility for the expenses to be paid. Though it may appear that the expenses are solely covered by the landlord, these expenses are actually covered by the tenants’ fees. But the good thing is that the expenses are equally distributed, so tenants do not have to worry about individually paying for utilities, maintenance and insurance.