Legal Definitions - full-service lease

Definition: A full-service lease is a type of lease agreement where the lessor (property owner) agrees to pay for all maintenance expenses, insurance premiums, and property taxes.

Example: A company leases a commercial office space under a full-service lease agreement. The lessor is responsible for paying all the expenses related to the property, including maintenance, insurance, and taxes. The lessee only pays the agreed-upon rent amount.

Explanation: In a full-service lease, the lessor takes on the responsibility of paying for all the expenses related to the property. This type of lease is common in commercial real estate, where the lessee may not have the resources or expertise to manage the property's maintenance and other expenses. The lessee benefits from a predictable rent amount, while the lessor takes on the risk and responsibility of managing the property.