In real estate leasing, a Gross Lease is a lease agreement in which the landlord agrees to pay some or all of the operating expenses associated with the property. These expenses commonly include property taxes, insurance, maintenance, and sometimes utilities.
Under a gross lease, the tenant typically pays a fixed rent amount, which makes budgeting easier since operating costs are largely the responsibility of the lessor. Gross leases are commonly used in residential rentals and some commercial properties where simplicity and cost predictability are preferred.
