With a gross lease for commercial space, the renter pays the landlord a fixed monthly rent. It is then up to the landlord to pay the expenses of operating the building.

In many ways, renting commercial property with a gross lease is similar to renting a house or apartment.

Important to Know

• Many landlords already have their own leases. However, smaller landlords -- those who own only one or two buildings -- will be more likely to sign this lease form.
• Consider using a net lease (for an entire building or just part of one) which is often cheaper initially (because you pay the property taxes, insurance and maintenance instead of the landlord), but may become more expensive if operating costs rise. The shorter the lease period, the more inclined you should be to sign a net lease.

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