Rentable Square Footage (RSF) vs. Usable Square Footage (USF)
Rent is quoted in terms of rentable, not usable
square footage. The rentable area of virtually every office unit
includes a portion of square footage that is used a part of the
common area of the office building, for which the tenant is charged
RSF - Equals the usable square
footage plus the tenant’s pro-rata share of the Building Common
Areas, such as the lobby, public corridors, and restrooms.
USF - The area contained within
the demising walls of the tenant space, i.e., the space you occupy.
The percentage difference between the rentable
and usable area is known as the Add On Factor (it has other names,
too). There are exact standards for establishing the add on factor
in office buildings. It is expressed as a percentage, which can
then be applied to the usable square footage to determine the rentable
square footage upon which the tenant will pay rent.
A building with a high quoted rent, but a lower
add on factor, can actually be less expensive than one with a low
quoted rent, but a higher loss factor.
For more information about the commercial leasing process, please
fill out this form and request my booklet, "Business Guide
To Securing Ideal Office Space" or just call our office
at 512.275.1555 and we will get the guide to you.