Occupation rate

The occupancy rate measures the percentage of available rental or leased space that is currently occupied. It is calculated by dividing the number of occupied units by the total number of units and multiplying by 100.

Context

A high occupancy rate indicates strong demand and effective management, leading to stable rental income and potentially higher returns. A low rate may suggest issues requiring review of strategies to improve occupancy.

Example

With 90 out of 100 units in a residential building rented out, the occupancy rate is 90%, suggesting strong demand and effective management.