Question

A sublease is a transfer, through a ________________ lease, of some of the lessee's rights for the remainder of the lease term or all of their rights for less than the original term the lessee.

a) Parallel
b) Reverse
c) Subsequent
d) Sandwich

Answer 1

A sublease involving a 'sandwich' lease allows the original tenant (now a sublessor) to rent out the property to a new tenant, retaining some rights in between the landlord and subtenant.

Step-by-step explanation:

A sublease is a transfer, through a sandwich lease, of some of the lessee's rights for the remainder of the lease term or all of their rights for less than the original term the lessee had agreed to. In legal terms, a sandwich lease happens when the original tenant becomes the sublessor by renting out the leased premises to a new tenant.

The sublessor retains some rights or interests in the leased property, effectively becoming a 'middle layer' between the original landlord and the new tenant. This scenario can be beneficial for the sublessor as it allows them to potentially generate income from a property they have leased but are not currently using fully.