What type of lease allows the lessor to collect rents and pay expenses from those rents?

In a gross lease, the lessor is responsible for paying all operating expenses associated with the property, such as property taxes, insurance, and maintenance costs, while the lessee pays only the rent. This structure allows the tenant to have a more predictable monthly expense, as they are not responsible for additional costs beyond their rental payment.

The lessor benefits because they can collect rents and manage the expenses more directly, ensuring that all costs are covered from the rental income received. This arrangement is commonly used in residential leasing and some commercial properties, where the simplicity of one consistent payment stream is advantageous for both parties involved.

The other types of leases, such as a net lease, would require the tenant to pay some or all of the property expenses, which contrasts with the gross lease's structure. Similarly, a participation lease involves profit-sharing, which does not reflect the straightforward rent-collecting principles of a gross lease.