Answer Happy

2. Direct and leveraged leases Lease agreements can be created in different forms. Consider the following case that illustrates a lease agreement: Westborough Associates Inc. has been investing in commercial properties by buying and leasing property for the past seven years. The company is modifying its business model. Previously, it would first find clients, discuss the desired requirements of the property, and formulate the terms of the lease agreement. Westborough would then act as a financier and invest in buying a property that meets the requirements and lease it out to its clients. The company's clients would be responsible for taxes, insurance, and maintenance related to the property. This case illustrates an example of a: Direct lease Leveraged lease