Contracts

In an Arizona commercial lease, a 'gross lease' means:

AThe tenant pays base rent plus operating expenses
BThe landlord pays all property operating expenses and the tenant pays a fixed rent amount✓ Correct
CThe lease is based on a percentage of the tenant's gross sales
DThe tenant pays utilities only

Explanation

In a gross lease, the tenant pays a fixed rent and the landlord pays all operating expenses including taxes, insurance, and maintenance. It simplifies budgeting for the tenant.

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