Property Management

A net lease differs from a gross lease because in a net lease:

AThe landlord pays all operating expenses
BThe tenant pays some or all operating expenses in addition to base rent✓ Correct
CRent is based on a percentage of the tenant's sales
DThe lease term is shorter than a gross lease

Explanation

Under a net lease, the tenant pays base rent plus some or all operating expenses (taxes, insurance, maintenance). A triple net (NNN) lease requires the tenant to pay all three major expense categories.

Related Montana Property Management Questions

Practice More Montana Real Estate Questions

1,500+ questions covering all exam topics. Start free — no signup required.

Take the Free Montana Quiz →