Property Management

In Tennessee, a 'gross lease' in commercial real estate means:

AThe tenant pays all operating expenses
BThe landlord pays most operating expenses and the tenant pays a fixed base rent✓ Correct
CThe tenant pays rent based on a percentage of sales
DThe lease has no defined term

Explanation

Under a gross lease, the tenant pays a fixed base rent and the landlord is responsible for most or all operating expenses, including property taxes, insurance, and maintenance.

Related Tennessee Property Management Questions

Practice More Tennessee Real Estate Questions

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

Take the Free Tennessee Quiz →