Property Management
A gross lease requires the tenant to pay:
ABase rent plus all operating expenses proportionally
BA fixed rent with the landlord paying most operating expenses✓ Correct
COnly the property's operating expenses with no base rent
DRent equal to a percentage of sales only
Explanation
In a gross lease, the tenant pays a fixed rent and the landlord is responsible for paying most operating expenses such as taxes, insurance, and maintenance — common in residential rentals.
People Also Study
Related Louisiana Questions
- A Louisiana commercial landlord wants to earn $15,000 per year net from a property after paying $4,200 in property taxes, $2,800 in insurance, and a 6% management fee. If the management fee is based on gross rent and the management fee and expenses must be covered, what annual gross rent must be charged? (Ignoring other expenses)Real Estate Math
- In Louisiana, a 'net lease' where the tenant pays base rent plus property taxes only is called a:Property Management
- A lease has a base rent of $2,000 per month plus 3% of annual gross sales over $500,000. If the tenant's annual sales are $800,000, what is the total annual rent?Real Estate Math
- A Louisiana commercial building leases 4,200 sq ft at $22/sq ft/year NNN. Annual insurance is $3,200, taxes are $8,500, and maintenance is $4,800. What does the tenant pay annually in total?Real Estate Math
- A Louisiana commercial tenant leases 3,000 sq ft at $15/sq ft base rent (NNN) annually. Their proportionate share of common area maintenance is 12% of actual CAM costs of $40,000. What is the annual total rent plus CAM?Real Estate Math
- Under Louisiana landlord-tenant law, when a residential tenant's lease expires and the tenant remains in possession with the landlord's implied consent, the tenancy becomes:Property Management
- A Louisiana commercial tenant on a triple net (NNN) lease is responsible for paying:Property Management
- A landlord who refuses to rent to a tenant because the tenant is pregnant is violating which protected class?Fair Housing
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.
Study This Topic
Practice More Louisiana Real Estate Questions
1,500+ questions covering all exam topics. Start free — no signup required.
Take the Free Louisiana Quiz →