Property Management
In Ohio, which type of commercial lease arrangement provides the most predictable occupancy cost for the tenant?
ATriple net (NNN) lease
BGross (full-service) lease✓ Correct
CPercentage lease
DModified gross lease with expense escalations
Explanation
A gross (full-service) lease provides the most predictable cost for the tenant because the tenant pays a fixed rent that covers all operating expenses. NNN and percentage leases involve variable costs.
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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.
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