Definition of "Net leasable area"

Ruby Lombardo real estate agent
Ruby Lombardo, Real Estate Agent Jack Pedersen Realty

The floor space in a building that is actually under lease. Net leasable area is all the leasable area of a building exclusive of none leasable space such as hallways, building foyers, areas devoted to heating, air conditioning, elevators, and other utility areas. the net leasable area produces the lease income economically supporting the building. For example, a building having 5,000 sq. ft. of area may have a net leasable area of 4,250 sq. ft.

 

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Comments for Net Leasable Area


Michael Michael said:

Is the leasable area calculated to the outside of the external wall or to the inside of the external wall finish?

Apr 07, 2019  08:08:26

 
Real Estate Agent

Hi, Michael! Measuring the space in a commercial building can be tricky sometimes. Regarding leasable areas, there are a few types of measurements you should know about: 
Gross floor area (GFA) - is measured to the external face of the external walls
Gross internal area (GIA) -
measured to the internal face of the external walls 
Net internal area (usable floor area) -
the space left from the GIA after removing the space taken up by stairs, machinery rooms, elevators, toilet areas, other utility rooms and the like. 
Gross leasable area -
is measured from the external face of the walls, but excludes common areas such as corridors or staircases. However, both GLA and GFA take into account the space occupied by walls or columns. 
To be sure you make the right measurements, you may want to invite an appraiser or a land surveyor to make the measurements for you. 

Apr 09, 2019  06:01:51
 
 

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