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A lease agreement in which the amount of future lease payments are calculated using an established index, typically the consumer price index (CPI) whereby an increase in the index will generate a corresponding increase in the lease payment to be applied.
Dictionary of Real Estate Terms for: index lease. Index lease. A rental agreement that requires changes in rent based on a published record of cost changes. Example: A landlord makes an index lease with initial rent at $10,000 per year, adjusted annually by the consumer price index (CPI).
A graduated lease is an agreement under which a tenant and landlord agree to a periodic adjustment of monthly payments. For example, the agreement may reflect an increase in the tenant's payments due to market conditions or an increase in the value of the leased property.
A ground lease is an agreement in which a tenant is permitted to develop a piece of property during the lease period, after which the land and all improvements are turned over to the property owner.
A month-to-month lease is a lease that continues each month until either party provides 30 days' notice. As the name suggests, it allows tenants to live in your rental property on a month-to-month basis. Month-to-month leases are commonly used as a way to extend a lease.
A graduated lease is an agreement under which a tenant and landlord agree to a periodic adjustment of monthly payments. For example, the agreement may reflect an increase in the tenant's payments due to market conditions or an increase in the value of the leased property.
Step rent, also known as step-up rent or step-up lease, is a type of additional rent term found in commercial real estate where the rent increases or decreases at defined periods. It is generally used to simplify accounting by separating out the increases due to inflation into a separate row in the accounts.
Defined as the period of time in which a contracted lease is in place, lease term establishes the time period to both the lessee and lessor.
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