what is a lessor 
a lessor is essentially someone who grants a lease to someone else as such a lessor is the owner of an asset that is leased under an agreement to a lessee the lessee makes a one time payment or a series of periodic payments to the lessor in return for the use of the asset understanding lessorsa lessor can be either an individual or a legal entity the lease agreement that they enter into with another party is binding on both the lessor and the lessee and spells out the rights and obligations of both parties in addition to the use of the property the lessor may grant special privileges to the lessee such as early termination of the lease or renewal on unchanged terms solely at their discretion for a lessor the main advantage of entering into a lease agreement is that they retain the ownership of the property while generating a return on their invested capital for the lessee periodic payments may be easier to finance than the total purchase price of the property types of leases and lessorsin the public s mind leases are usually associated with real estate a rented residence or office but actually almost any sort of asset can be leased it can be tangible property such as a home office car computer or intangible property like a trademark or brand name the lessor in each instance is the owner of the asset for example in the case of real estate or a car the lessor is the property owner or automobile dealer respectively in the case of a trademark or brand name the lessor is the company that owns it and has conferred the right to use the trademark or brand name to a franchisee when used in connection with the motor carrier industry a lessor refers to the owner of a commercial motor vehicle who contracts with the entity that holds operating authority for the use of the vehicle some lessors can also grant a rent to own lease whereby some or all of the payments made by the lessee will eventually be converted from lease payments to a down payment on the eventual purchase of the leased item this type of arrangement usually occurs in a commercial context when leasing large industrial equipment for example but it is also common in a consumer context with automobiles and even with residential real estate the lessor is also known as the landlord in lease agreements that deal with property or real estate special considerationsthe most common type of lease is for homes or apartments in which individuals and families live because housing is an important matter of public policy many jurisdictions have created governing bodies that regulate and oversee the legal relationships and acceptable terms of leases between lessors and lessees in this field for example in the state of new york the new york state division of housing and community renewal dhcr is responsible for administering rent regulation in the state including new york city 1 this responsibility includes both rent control and rent stabilization 