In a net lease, which of the following costs is the tenant responsible for?

In a net lease, the tenant is typically responsible for a range of costs in addition to the base rent. The correct answer highlights that tenants in a net lease arrangement are responsible for not only base rent, but also for taxes, insurance, utilities, and repairs.

This arrangement shifts some of the burdens of property ownership onto the tenant, which is beneficial for landlords as it provides a more predictable cash flow and reduces their overall management responsibilities. The tenant covers these costs, allowing them to have a more vested interest in the property's maintenance and operation.

In various types of net leases, such as single net, double net, or triple net leases, the specifics can vary slightly, but generally, the inclusion of taxes, insurance, utilities, and repairs signifies a more comprehensive financial commitment from the tenant compared to other types of lease structures, where such costs may fall to the landlord. This understanding is critical for both tenants and landlords, as it defines the financial responsibilities and expectations involved in leasing agreements.