What does a "ground lease" typically include?

A ground lease is an agreement where a tenant is allowed to use a piece of land owned by the lessor (the property owner) for a specified period of time, typically for purposes of building or developing on that land. This type of lease typically involves leasing unimproved land, meaning the land itself is usually vacant and may not have any structures on it.

In a ground lease, it is common for the lessee to construct a building or make improvements on the leased land, while the ownership of those improvements generally remains with the lessee for the duration of the lease. At the lease's expiration, ownership of the improvements may revert to the landowner, depending on the terms of the lease. This dynamic makes ground leases particularly appealing in commercial real estate development, where businesses want to develop or build on prime land without having to purchase the land itself.

As for the other options, they pertain to different types of leases or property usage that do not correctly define a ground lease scenario. A ground lease specifically focuses on unimproved land, distinguishing it from other lease types that involve already-developed commercial or residential properties. This distinction is crucial for understanding the nature and purpose of ground leases in real estate.