In listings and leases, “area” can mean different things. When two offers look the same on rent, the difference often lies in which square metres the rate is applied to.
Three definitions of area
| Term | Meaning | Where it is used |
|---|---|---|
| GBA — Gross Building Area | The building's total area: every space, including technical zones, stairs and shafts. | A characteristic of the whole property — in building descriptions and in sales. |
| GLA — Gross Leasable Area | The area that can be let: the tenant's premises plus their share of common areas. | The basis for calculating rent in most leases. |
| Usable area | The space the tenant actually uses: their warehouse, office and staff facilities. | Needed for planning: how much racking fits, where staff will sit. |
GBA — Gross Building Area
- Meaning
- The building's total area: every space, including technical zones, stairs and shafts.
- Where it is used
- A characteristic of the whole property — in building descriptions and in sales.
GLA — Gross Leasable Area
- Meaning
- The area that can be let: the tenant's premises plus their share of common areas.
- Where it is used
- The basis for calculating rent in most leases.
Usable area
- Meaning
- The space the tenant actually uses: their warehouse, office and staff facilities.
- Where it is used
- Needed for planning: how much racking fits, where staff will sit.
The common-area factor
The gap between leasable and usable area is expressed as a common-area factor, also called a load factor. It shows what share of common zones — corridors, stairs, lobbies, plant rooms — the tenant pays for on top of their own space.
For example, with a factor of 1.1 a tenant using 1,000 m² pays as if for 1,100 m². In warehouses the factor is usually lower than in offices because there is less common space, but in multi-storey and mixed-use buildings it can be significant.
Warehouse, mezzanine and office
Warehouse space is often made up of several parts: the warehouse itself, office and staff premises, and a mezzanine. A built-in office or mezzanine may be priced differently from warehouse space, so it helps to see them as separate lines in an offer.
How to compare offers
- 1.Ask which area the rate applies to — leasable or usable.
- 2.Ask for the common-area factor and what it includes.
- 3.Request a breakdown: warehouse, office, mezzanine, technical premises.
- 4.Check the area in the lease against the floor plans or technical plan.
- 5.Recalculate the total cost per usable square metre.
Calculating per usable square metre helps account for the rate, the area factor and differences in how owners calculate area.