Property Management

A net lease in Kansas commercial property is distinguished from a gross lease because:

AThe tenant pays less than fair market rent
BThe tenant pays base rent plus some or all operating expenses separately✓ Correct
CThe landlord provides all services included in rent
DThe tenant has an option to purchase at any time

Explanation

In a net lease, the tenant pays base rent plus additional expenses (property taxes, insurance, maintenance — depending on the type of net lease), unlike a gross lease where the landlord pays most expenses.

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