What is the term used to describe the ratio of rentable to usable space on a multiple-tenancy floor?

The term used to describe the ratio of rentable to usable space on a multiple-tenancy floor is known as the load factor. The load factor is a key metric in commercial real estate that aids in determining how much space a tenant effectively pays for compared to how much space they can actually use. This ratio takes into account the common areas, such as lobbies, hallways, and bathrooms, which tenants share but do not occupy exclusively.

Understanding the load factor is critical for both landlords and tenants as it influences lease rates and overall space efficiency. A higher load factor suggests that a greater proportion of the total space is considered common area rather than usable for a specific tenant's purposes. In contrast, terms like loss factor, utility factor, and rentable space factor do not accurately capture this specific ratio of space usage and common area allocation, thus making load factor the correct term in this context.