Which type of lease typically places maximum financial responsibility on the tenant?

In the context of commercial real estate, a net-net-net lease—often referred to as an NN or triple net lease—assigns substantial financial responsibilities to the tenant. Under this lease structure, the tenant is typically responsible for paying not just the base rent but also the three major operating expenses associated with the property: property taxes, insurance, and maintenance costs. This means the tenant bears most of the financial obligations that arise from the property, in addition to any additional expenses that may occur.

This level of responsibility makes the net-net-net lease distinct from other leasing types. For instance, a gross lease usually requires the landlord to pay for all operating costs, while a net lease may only involve some additional expenses covered by the tenant. In an absolute net lease, the burden is even greater as it often includes every possible cost associated with the property, leading to extensive financial obligations for the tenant, which can sometimes be viewed as synonymous with triple net leases.

However, among the options presented, a net-net-net lease most accurately describes a lease type where tenants assume the maximum financial responsibility, particularly when compared to those that involve either shared costs or primarily landlord-managed expenses. This significant liability is important for potential tenants to understand when entering into lease agreements.