When a land or property is held under a lease, then that real estate asset is called a “leasehold”. A lease in land lasts for a pre-determined period of time, which is set and agreed upon both by the landlord and the tenant before the term begins.

It must be noted that a leasehold is different from a freehold, wherein the tenants purchase the ownership of the property outright. It is also different from tenancy, wherein a property is let or rented periodically, e.g. weekly or monthly. In a leasehold contract, a property is rented for a fixed period of time, usually lasting for a certain number of years. The leasehold is only terminated, and the owner only gains back the right to the estate of the property upon reaching the agreed duration of the lease.