What characterizes Leasehold interest in land?

Leasehold interest in land is characterized by the fact that it is temporary and tied to the conditions of the lease agreement. When a lease is signed, the tenant gains the right to use and occupy the property for a specified duration, which is defined by the lease terms. Once the lease agreement expires, the leasehold interest also ends, and the property reverts back to the landowner or lessor. Therefore, the temporary nature of a leasehold interest is what makes this choice the correct answer.

This understanding is rooted in the legal framework of lease agreements, where the leasehold interest does not provide permanent ownership rights but rather grants limited use of the property for a predetermined period. Once that period concludes, any rights associated with that lease are extinguished.