In a modified gross lease
, the net items are wrapped in with the base rent, so the rent is quoted at $15 per square foot.
FlexShopper announced that it expects to record year-over-year lease origination growth in 2018, with gross lease
originations increasing 45.8% to $58.2 million from $40.0 million in 2017 and beating guidance by approximately $6 million.
The obvious question is, will the lease be a gross lease
or net lease?
As of 30 September 2016, CSF had gross lease
receivables of USD 258m, or net lease receivables of USD 234m with an average yield of approximately 6%.
The other type is called gross lease
where the landlord assumes responsibility for building operation and other costs.
Changing to a gross lease
format, though, is the first step.
A net lease is here defined as one in which a tenant pays a pro rata share of taxes, based on percentage of space occupied, and that the gross lease
is one which makes the lessor solely responsible for real estate taxes.
The third lease, the Gross lease
, is approximately 30 acres and is located in Clay county, Kentucky.
In a gross lease
, all of these items are included, but tenants are still responsible for their own utilities.