Gross Leases in Property Management

What type of property is most often associated with gross leases?

A. Residential property

B. Retail space

C. Office space

D. Shopping malls

Final Answer:

A gross lease, where the landlord covers property expenses, is most often used with residential properties. Other options like retail space, office space, and shopping malls usually operate under a net lease.

Explanation:

A gross lease is a type of lease agreement where the landlord pays all the property expenses, including the property taxes, insurance, maintenance, and repairs. This type of lease is most often used with residential property (Option A). In contrast, retail spaces, office spaces, and shopping malls typically operate on a net lease, where the tenant pays some or all of the property expenses in addition to the rent.

For instance, a tenant in a residential apartment (under a gross lease agreement) will pay a flat rental rate, and the landlord will take care of property taxes, maintenance, insurance, and other costs.