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Modified Gross Lease
A hybrid commercial lease where tenant and landlord divide operating expenses according to negotiated lease terms alongside base rent.
A Modified Gross Lease is a commercial lease compromise where the tenant pays a base rent plus a negotiated combination of specific operating expenses (such as separately metered utilities or interior janitorial services), while the landlord remains responsible for structural and exterior expenses.
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See all Leasing terms →Assignment of Lease
The complete legal transfer of an existing tenant's entire leasehold rights, obligations, and physical occupancy to a new incoming tenant.
Read definition →Base Rent
The fixed minimum monthly rent agreed upon in a lease agreement, excluding utilities, janitorial, or shared operating expense pass-throughs.
Read definition →Co-Tenancy Clause
A commercial lease clause granting rent reductions or termination rights if anchor tenants vacate or center occupancy falls below agreed levels.
Read definition →Continuous Operation Covenant
A commercial lease requirement obligating a retail tenant to keep its store open, fully stocked, and staffed during designated business hours.
Read definition →Escalation Clause
A commercial lease provision specifying annual rent increases tied to a fixed percentage, stepped rates, or the Consumer Price Index (CPI).
Read definition →