What defines a "net lease"?

A net lease is defined as a lease agreement in which the lessee is responsible for not just the base rental payment, but also for additional costs associated with the property. This typically includes operating expenses such as property taxes, insurance, and maintenance. By including these expenses in the lease, the landlord effectively shifts certain financial responsibilities onto the lessee, which can be beneficial for the landlord as it provides a clearer understanding of the total outlay required to maintain the property.

In the context of the other options, while some of them touch upon aspects related to leasing, they do not fully capture the essence of a net lease. The first option suggests that a net lease involves only the payment of rent, which omits the critical aspect of additional financial responsibilities that characterize a net lease. The third option regarding subletting does not inherently define a net lease, as subletting can occur under various lease types. Lastly, the option focusing solely on property tax is too narrow and does not encompass the broader range of costs that the lessee would typically cover in a net lease agreement. Thus, the correct understanding of a net lease includes the comprehensive responsibility for operating expenses, making the answer that reflects this definition accurate.