What does a gross lease typically include in the tenant's obligations?

A gross lease typically includes all expenses related to the property, which means the landlord absorbs most of the costs associated with property ownership and maintenance. In a gross lease arrangement, the tenant pays a predetermined rent, while the landlord pays for all property-related expenses, such as utilities, property taxes, property insurance, and maintenance costs.

This structure provides tenants with a level of predictability in budgeting their housing or office expenses since they do not have to worry about fluctuating costs related to the property. They pay a fixed amount, which simplifies their financial obligations.

In contrast, options that suggest only rent or limited expenses (like utilities or specific costs) do not capture the comprehensive nature of a gross lease, where the landlord assumes responsibility for a wide range of expenses connected to the property management and upkeep. This holistic approach is what distinguishes a gross lease from other lease types, such as net leases, where tenants might be responsible for some or all additional expenses beyond the base rent.