Occupancy rate

Occupancy rate — the percentage of a property’s leasable space that tenants actually occupy and pay for. For a REIT it is the first health gauge (empty floors produce no distributable income); for direct real estate it is the most-lied-about line in every seller’s projection. Introduced lightly with the first REIT purchase; it becomes a full underwriting input in Levels 2 and 3.

First used in: 1.7 · PSE mechanics: first shares, first REIT