Property Management

A Vermont 'ground lease' involves:

AA lease for underground mineral rights
BThe owner leasing only the land to a tenant who constructs improvements; the tenant owns the improvements during the lease term✓ Correct
CA lease that includes both the land and building at below-market rates
DA lease of agricultural land only

Explanation

A ground lease separates ownership of land from improvements. The landowner leases the land (often for 50–99 years) to a tenant who constructs and owns the improvements during the lease term. Vermont commercial developments sometimes use ground leases to make projects financially viable.

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