What is true regarding the assignment of a lease?

The correct answer indicates that the entire leasehold is transferred in an assignment. When a tenant assigns their lease to another party, the assignee steps into the shoes of the original tenant and takes on all the rights and obligations of the lease. This transfer includes the entire interest in the leasehold, meaning that the assignee gains the full set of rights to occupy and use the property for the remainder of the lease term.

In many jurisdictions, leases permit assignment unless specifically restricted by the landlord. This means that, unless the lease expressly states otherwise, a tenant can assign the lease to another party without retaining any interest in the leasehold.

This differs from subleasing, where the original tenant retains some rights and responsibilities while transferring partial rights to another tenant. Understanding these distinctions is crucial for real estate professionals, as they navigate lease agreements and tenant relationships.