Sandwich Lease


DEFINITION of 'Sandwich Lease'

A lease in which a party rents property from the property owner and then subsequently leases it out to another tenant. In a sandwich lease, the primary party is both a lessee and a lessor, meaning that the party both collects rent and pays rent. Not all property owners allow this sort of arrangement.

BREAKING DOWN 'Sandwich Lease'

A sandwich lease involves a party sub-letting what is already being sub-let. This type of leasing arrangement may come about if the primary party signs a long-term lease on a piece of property, but is either unable to use all the space or is looking to vacate.

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  3. Lease

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  4. Lessor

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  5. Lessee

    The person who rents land or property from a lessor. The lessee ...
  6. Deed Of Surrender

    A legal document that transfers property ownership for a specified ...
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