Leasehold Property:

It refers to owning a property for a specific term but not the land
on which it stands. The ownership of the property reverts to the
freeholder, the landowner, once the lease expires. This contract
can range from a few decades to centuries, significantly
impacting the property's value. Leasehold is commonly found in
apartments and flats, contrasting with freehold property where
one owns the property and land indefinitely.
We can see this kind of phenomenon in the construction industry
as a profitable strategy of investment.

Lessor and Lessee:

These are used mostly together but they stand for different
definitions. The owner of the asset or piece of property who rents it
out and gets paid for its use is known as the lessor. However, the
person who pays to utilise the asset or property under
predetermined terms is known as the lessee. In essence, the asset
is provided temporarily by the lessor, and the lessee gains use of it
without having to buy it.
A lease agreement:

It is a legal agreement between a lessor and a lessee that gives

the lessee the use of real estate that the lessor owns or manages
for a fixed amount of time in exchange for regular payments to
the lessor.

To sum it up in a better way we can take a real state example like:

Think about a retail store that leases a commercial building. For a

predetermined amount of time, usually several years, the retailer
(lessee) pays rent to the property owner (lessor) in exchange for
the terms of the lease. The lessee follows the terms specified in the
contract while conducting business from the rented space for the
duration of the lease.

ANUSHKA
A/3657/2022
IIB