Occupancy Rate

Occupancy rate is the percentage of rentable space in a property or portfolio that is currently leased and generating income, calculated as occupied square footage divided by total rentable square footage, serving as a key indicator of property performance.

Occupancy Rate is a key concept that affects property valuation, financing decisions, and investment returns in the triple net lease market. Understanding Occupancy Rate helps investors make informed acquisition and management decisions.

Occupancy Rate directly influences how commercial properties are valued, financed, and traded. Changes in Occupancy Rate can impact cap rates, NOI calculations, and overall investment performance for net lease properties.

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