7R Glossary
GLA / NLA (leasable area) (GLA and NLA)
What should you know?
Accurately defining and measuring the floor area in a commercial property is crucial for correctly calculating rent and maintenance fees. Depending on the measurement standard used (e.g., BOMA or the Polish standard PN-ISO 9836), a so-called common area factor (Add-on Factor / Współczynnik Powierzchni Wspólnej) is added to the GLA, taking into account hallways, the main lobby, stairwells, and utility rooms.
For investors and tenants, the GLA and NLA ratios provide a way to assess a building’s spatial efficiency. The higher the ratio of net leasable area (NLA) to total floor area, the more optimally the building is designed in terms of operational space utilization.
GLA / NLA (leasable area) in 7R’s practice
At 7R logistics parks, we ensure maximum design efficiency for our warehouses. The architecture of our buildings is based on advanced BIM modeling, which allows us to minimize inefficient circulation routes and maximize the NLA ratio for tenants. All floor area calculations in 7R’s offerings are prepared transparently and based on verified measurement standards, ensuring that customers know exactly what space they are paying for.
Differences Between GLA and NLA
| Criterion | Gross Leasable Area (GLA) | Net Leasable Area (NLA) |
|---|---|---|
| Meaning | Gross Leasable Area (Basis for Calculations) | Net Leasable Area (Usable Area) |
| Common Areas | Takes into account the allocated share in the common areas | Excludes common areas open to the public |
| It is used for... | Calculation of Total Rent and Maintenance Fees | Design of production lines and shelving systems |
| Key indicator | It serves as the basis for assessing the size of the logistics park | Determines the actual storage capacity |
Frequently Asked Questions
Under standard commercial real estate market practices, rent and service charges are calculated based on the GLA (gross leasable area). This includes the tenant’s dedicated space plus a proportionate share of the common areas.
The Add-on Factor is the ratio, expressed as a percentage, of a building’s common area (e.g., the lobby, main hallways, general server rooms) to the tenants’ usable area. This factor determines the percentage by which the NLA of a given unit is increased to arrive at the final GLA.