Contracts

A Mississippi commercial lease includes a 'CPI escalation clause.' This means rent increases are tied to:

AThe landlord's mortgage payment increases
BThe Consumer Price Index (CPI), adjusting rent to reflect changes in inflation✓ Correct
CThe local property tax assessment
DThe national commercial vacancy rate

Explanation

A CPI escalation clause links periodic rent increases to the Consumer Price Index, protecting the landlord against inflation. As the CPI rises, rent increases proportionally to maintain the real value of rental income.

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