Physical Occupancy

Physical occupancy is the percentage of apartment units that are physically occupied by residents. It is calculated as occupied units ÷ total units × 100. Unlike economic occupancy, it does not show whether rent was collected, whether concessions were given, or whether residents are delinquent.

A 200-unit community has 184 units with residents living in them. Its physical occupancy is 92%: 184 occupied units ÷ 200 total units × 100.

Physical occupancy helps operations leaders understand how full a property is and whether leasing, renewals, turns, and move-ins are keeping pace. It should be reviewed alongside economic occupancy and delinquency because a property can look full while still underperforming financially.