Gross Lease Tenant pays only Base rent. Landlord is responsible for all expenses. Modified Gross Lease Same as Gross Lease except expenses designated in the Lease. In addition, some Gross Leases have expense stops. In these cases tenants pay all expenses above a preset number.
Some leases contain rental increases during the term of the lease.
These usually have annual and Total limits. N.O.I minus Debt Service divided by the down payment. Indicates yield on cash invested.