Revenue

Economic occupancy

The share of potential rent a property actually collects, after vacancy, concessions, bad debt and other losses.

Economic occupancy equals actual rent collected divided by gross potential rent. A building can be 97% physically occupied but only 90% economically occupied if residents are behind on rent or received large concessions.

Because it reflects money rather than bodies, economic occupancy is a better measure of financial performance than physical occupancy. A widening gap between the two is an early warning about collections or discounting.

See it on a sample company