The term "gross leasable area" refers to what?

Gross leasable area (GLA) signifies the total amount of space within a commercial property that can be leased to tenants, which includes all areas that contribute to rental income. This encompasses not only the private, usable spaces of individual tenants but also common areas that are shared among occupants, such as hallways, restrooms, and lobbies. Understanding GLA is essential for assessing the rental value and investment potential of a property, as it provides a comprehensive view of the space available for generating income.

The other options fail to capture the complete picture of what GLA entails. The first choice excludes common areas, which are integral to the GLA calculation. The second choice refers only to the net usable area, which does not include shared spaces. The last option mentions occupied space without addressing the overall leasable capacity which is essential for determining the total rental income a property can provide. Thus, the definition that encompasses both leased spaces and common areas correctly describes gross leasable area.