Which of the following best defines a ground lease?

A ground lease is best defined as a lease of undeveloped land. This type of lease typically allows a tenant to use the land for a long-term period, often 30 years or more, while they may build on it or develop it during the lease term. Unlike other leases that involve structures or completed properties, a ground lease specifically pertains to the land alone, which means the lessee is granted the right to make improvements on the property, but the land itself remains owned by the lessor.

This kind of lease arrangement is common in commercial real estate where developers may wish to utilize land for constructing buildings but do not want to purchase the land outright. The focus on undeveloped land is a key characteristic that distinguishes a ground lease from other types of leases that involve completed structures or residential rental agreements.