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What is a 'Gross Lease'. A gross lease is a type of commercial lease where the landlord pays for the building's property taxes, insurance and maintenance. A gross lease can be modified to meet the needs of a particular building's tenants. For example, a gross lease may require the tenant to pay the utility bills. Next Up.
There are three common forms of leases in the United States. These are the gross lease, the net lease, and the base year lease or expense stop lease. These leases differ in the way the buildingâs CAM expenses are quoted in the overall lease rate and subsequently collected from the tenants through the estimation, billing and reconciliation process.