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Note added at 32 mins (2018-07-07 12:15:55 GMT)
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A simple example of a leasehold interest is a retail tenant who operates a drug store in a strip mall. The tenant has secured a lease for 5,000 sq. ft. with a 10-year term at a fixed rate of $20.00 psf, escalating to $22.00 psf in year 6 of the term. By year 3 of the lease, market rents for similar space have increased to $23.00 psf. Given positive market conditions it is possible that rents will continue to rise. The tenant has a minimum $3.00 psf rent advantage for years 3 to possibly year 5 and beyond, amounting to a minimum rental advantage of $15,000 in rent per year for at least 3 year

Concept of Lessee’s Interest in the context of Real Property
A short definition of Lessee’s Interest: In appraising the value of a lessee’s interest to determine the value of a potential sublease of assignment (sale) of the lease, the value is the market value of the property, less the interest of the lessor. The lessor’s interest would be largely determined by the ratio of the return on the lease to the market value without the lease.

http://legaldictionary.lawin.org/lessee-s-interest/
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Present value (PV) of the future income from a lease plus the present value of the leased asset's value at the end of the lease term.

http://www.businessdictionary.com/definition/lessor-s-intere...

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LESSEE'S INTEREST (LEEI)

The lessee's interest (LEEI) in an investment property is the present value of the profit rental. Therefore, there is no lessee's interest if there is no profit rental. The lessee's interest as used in this context is an economic interest as the lessee paying market rent still has a legal interest in the property while the lease is current.

LESSOR'S INTEREST (LORI)

The lessor's interest (LORI) in an investment property is the unencumbered market value (that is, the value assuming that the property is vacant) less the lessee's interest (LEEI). The market rental for the above property is $100 000 pa and a capitalization rate of 12% pa has been analyzed from sales of comparable properties. Therefore, the unencumbered value is:

http://cavrep.com.au/L/LESSEE&LESSORSINTERESTS.html