Gross Leasable Area (GLA)
Definition
The total floor area designed for tenant occupancy and exclusive use, including basements, mezzanines, and upper floors. This measurement represents the space that can generate rental income and is particularly important in retail and commercial developments.
Purpose
Calculate rental space and determine income potential for commercial properties while providing a standardized measure for lease negotiations and property valuation.
Examples of Use
- Retail space planning and shopping center design.
- Lease calculations and rental determinations.
- Shopping center management and tenant mix planning.
- Property valuation and investment analysis.
- Operating cost allocations.
Related Terms
- Net Leasable Area
- Rentable Area
- Common Area
- Usable Area
- Loading Factor
Notes
GLA is a standard measure in commercial real estate, particularly retail properties. Calculation methods may vary by market and property type, but generally exclude common areas and service spaces.
