BOMA Standard, BOMA Measurement Guidelines

ANSI/BOMA Z65.1 – 2010 Office Buildings Standard

 

Objective: The BOMA standard was first introduced in 1915 by the Building Owners and Managers Association (BOMA) in the U.S. to establish uniform rules for measuring commercial real estate. Over the years, this standard has evolved and is now recognized internationally in the commercial real estate market.

 

Note: BOMA has no connection with BTI measurement methods. The purpose of BOMA is also to fairly allocate common areas of the building among tenants or owners.

 

The BOMA standard includes many specifics about which spaces to include in calculations and which to exclude. For example, if a window is over 70% of the room’s height, the space under the windowsill is included in the measurement, as it is considered usable. Similarly, store display windows are counted as usable space if merchandise is displayed there. However, stairwells and parking areas are not included in the calculations. The building’s common area is divided among tenants proportionally to their rented space in the building, provided all tenants have equal access. Floor common areas are allocated only to tenants on that floor.

 

 

Below are some key terms from the ANSI/BOMA Z65.1 – 2010 Office Buildings Standard:

 

 

  • ANSI/BOMA Z65.1 – 2010 Office Buildings Standard
    A standard for measuring leasable office spaces.

 

  • Method A – Legacy Method
    The traditional method of measuring areas under the BOMA standard. It calculates rentable areas, rentable on a per-floor basis. Each floor has an R/U ratio, and the building has an R/O ratio. The floor R/U ratio may vary from floor to floor.

 

  • Rentable Area (Method A)
    Rentable Area represents the total of Occupied Areas (spaces for employees, equipment, fixtures, materials, and assets) plus an allocated share of the Common Areas. This figure determines the total space available for lease.

 

  • Load Factor A
    The load factor for common area allocation is the product of the R/O ratio and the R/U ratio. This factor represents the total share of building and floor common areas added to the tenant’s occupied area.

 

  • Capped Load Factor
    The capped load factor allows for limiting the inclusion of common areas in the rentable area, aligning Load Factor A with market averages applicable to similar types and classes of buildings.

 

  • R/O Ratio
    This ratio shows the proportional allocation of building common areas among all building tenants.

 

  • R/U Ratio
    This ratio shows the proportional allocation of floor common areas among the tenants on that floor.

 

The BOMA standard is a crucial tool for accurately and fairly calculating rentable areas in office buildings. It ensures that all necessary parameters are considered, providing an equitable distribution of shared areas among tenants. BOMA usage helps property owners and tenants avoid disagreements and misunderstandings in area calculations, establishing fair leasing terms. This standard supports effective property management, optimizing space usage and enhancing collaboration among market participants, ultimately fostering trust within the commercial real estate sector.

 

 

 

Published: October 23, 2024
Author: Ilya Zavaleev