Variable Lease

Definition: A variable lease provides for rent to change under a stated method, such as scheduled increases or adjustments tied to an index.

Example

An office lease adjusts rent at specified intervals using an agreed consumer-price-index formula.

Keep the distinction clear

The formula, base period, limits, and timing control the adjustment. A percentage lease instead ties some or all rent to sales under its terms.

Related terms

Lease · Percentage Lease · Gross Lease

Keep studying

Property Manager Duties: The Owner, the Agreement, and the Property

References: Boston University Law: variable rental provisions

Pronunciation (US): VAIR-ee-uh-buhl LEES (capitals show stress)

Pronunciation reference: Merriam-Webster