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What Is a Modified Gross Lease?

By Matthew Frankel, CFP – Updated Sep 6, 2025 at 3:15PM

Key Points

  • Gross leases charge tenants for rent and utilities; net leases add taxes, insurance, and maintenance.
  • Modified gross leases split property expenses between landlord and tenant variably.
  • These leases are common in multi-tenant buildings, allowing flexible expense sharing.

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