1. What is Rentable Square Footage?

Rentable Square Footage is the total area for which a tenant pays rent, including both usable space and a proportional share of building common areas. It's calculated by multiplying the usable square footage by the load factor.

2. How Does the Calculator Work?

The calculator uses the commercial rental formula:

Where:

• Usable Square Footage — The actual space occupied by the tenant (sq ft)
• Load Factor — Ratio of rentable to usable space (unitless, typically 1.1-1.5)

Explanation: The load factor accounts for shared building spaces like lobbies, restrooms, and hallways that tenants use but don't occupy exclusively.

3. Importance of Load Factor

Details: The load factor is crucial in commercial leasing as it determines how much more space you pay for beyond your actual usable area. Lower load factors mean more efficient building designs.

4. Using the Calculator

Tips: Enter usable square footage in sq ft and the load factor (must be ≥1). The load factor is typically provided by the landlord or building management.

5. Frequently Asked Questions (FAQ)

Q1: What's the difference between usable and rentable square footage?
A: Usable is the space you occupy; rentable includes your share of common areas. Rentable is always equal to or greater than usable.

Q2: What's a typical load factor?
A: Office buildings typically have load factors between 1.10 and 1.20 (10-20% add-on). High-rise buildings often have higher load factors.

Q3: How is load factor determined?
A: It's calculated as (Total Building Area - Non-Rentable Area) / Total Usable Area of all tenant spaces.

Q4: Does rentable area include exterior walls?
A: Typically yes - rentable area usually includes 50-100% of exterior walls depending on measurement standards used.

Q5: What measurement standard is used?
A: In the U.S., most commercial leases use BOMA (Building Owners and Managers Association) standards for measurement.