What does the term 'lessee' refer to in real estate?

In real estate terminology, the term 'lessee' specifically refers to the party leasing the property, typically the tenant. The lessee enters into a lease agreement with the lessor, who is the property owner or landlord. This agreement grants the lessee the right to use and occupy the property for a specified period in exchange for rent or other considerations.

Understanding this definition is crucial in the context of real estate transactions and contracts, as it clarifies the roles and responsibilities of both parties involved in the leasing process. The lessee is responsible for complying with the lease terms, while the lessor retains ownership of the property throughout the lease duration.