Due to the extreme temperature differences between the sea surface and the winter atmosphere, Arctic leads can be a significant source of moisture and heat for the Arctic atmosphere. Due to their relatively small scales, these openings in the pack ice cannot be explicitly resolved by large scale models. In an attempt to better understand the effects the enhanced small-scale surface fluxes can have, a two-dimensional cloud resolving model is employed. By including or neglecting certain physical processes such as latent heating, liquid/ice microphysics, and radiation, we attempt to gauge their relative impacts. In addition, the sensitivity to ambient wind speed and lead orientation, as well as lead width is investigated. Where possible, results are compared with those from earlier two-dimensional studies, three-dimensional large-eddy simulations, and aircraft observations from the Surface Heat Budget of the Arctic Ocean project (SHEBA)