Definition: Load Factor is a method of calculating total monthly rent costs to a tenant that combines usable square feet and a percentage of square feet of common areas.
Usable square feet + percentage of common area square feet = rentable square feet.
This calculation of the addition of a percent of the common area expenses to monthly rent is known is the "load factor."
Common areas can include restrooms, lobby, elevators, stairwells, and common hallways.
Related Terms:
