Commercial Real Estate

The term is virtually synonymous with commercial property, and illustrated with virtually the same examples. Commercial is one of three types of real estate, the other two being residential and industrial. The businesses occupying commercial real estate space usually lease it. The four major kinds of real estate leases: 1), the gross lease, where the tenant is responsible for rent only, the landlord covering property taxes, insurance and maintenance; 2), the single-net lease, where the tenant pays property taxes; 3) the double-net lease, where the tenant must pay property taxes and insurance; and 4) the triple-net lease, where the tenant must pay property taxes, insurance and maintenance.