What is a lease?

A lease is fundamentally a legal contract between a landlord and a tenant. It outlines the terms under which the tenant is allowed to occupy the property, detailing specific conditions such as the duration of the tenancy, the amount of rent, payment schedules, and other responsibilities of both parties. This legal documentation serves to protect the rights and obligations of both the landlord and the tenant, ensuring clarity and reducing the potential for disputes.

While other options refer to important aspects of property management, they do not encapsulate the definition or purpose of a lease. For example, a financial report documenting profits pertains to the financial aspect of property management but does not relate to the agreement between landlord and tenant. A checklist for property inspections is a procedural tool used in managing properties, but it does not represent the contractual relationship established by a lease. Similarly, an agreement for service providers is about hiring professionals for property maintenance and management rather than the relationship between a landlord and tenant regarding occupancy and rent. Understanding that a lease is specifically a legal agreement helps clarify its critical role in commercial property management.