What does a leasehold estate primarily establish between the parties?

A leasehold estate fundamentally creates a legal relationship between a landlord and a tenant. This relationship is characterized by the landlord granting the tenant the right to occupy and use the property for a specified period in exchange for rent. Unlike ownership of the property, which would imply a more permanent and comprehensive right to the property, a leasehold estate is specifically centered around tenancy rights and responsibilities defined by the lease agreement.

The lease outlines the conditions under which the tenant can use the property, responsibilities for maintenance, payment of rent, and duration of the leasehold. It's important to note that while the tenant has the right to possess and use the property, the ownership remains with the landlord. This dynamic distinguishes it from other real estate transactions, such as a formal sale or contract for purchasing property, both of which transfer ownership rather than merely establish a rental arrangement.