Property Management
A Florida commercial tenant signs a 'gross lease.' Under this lease type, the tenant pays:
ABase rent plus all operating expenses
BA fixed rent that includes most or all operating expenses (the landlord covers utilities, taxes, insurance, maintenance)✓ Correct
COnly operating expenses, no base rent
DRent based on gross sales percentage only
Explanation
A gross lease requires the tenant to pay a fixed rent amount that covers the base rent plus some or all operating expenses. The landlord is responsible for paying property taxes, insurance, and maintenance from the gross rent received.
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Key Terms to Know
Earnest Money
A deposit made by the buyer when submitting a purchase offer, demonstrating serious intent and serving as consideration for the contract.
ContingencyA condition in a purchase contract that must be satisfied before the sale can proceed to closing.
Purchase AgreementA legally binding contract between a buyer and seller that outlines the terms and conditions of a real estate sale.
Option ContractA contract giving the buyer the right, but not the obligation, to purchase a property at a specified price within a specified time period.
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