Property Management

A net lease (N) requires the tenant to pay base rent plus:

AAll operating expenses including taxes, insurance, and maintenance
BProperty taxes only✓ Correct
CInsurance only
DMaintenance and repairs only

Explanation

There are different degrees of net leases: N (taxes), NN (taxes + insurance), NNN (taxes + insurance + maintenance). In its strictest form, a net lease passes specified operating expenses to the tenant on top of base rent.

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