Physical occupancy is simple: how many units (or square feet) are full. In a typical 3–5 mile trade area (10–20 minutes drive time), you’re competing with every facility for the same customers. In lease‑up or in steady‑state churn, the name of the game is getting people into units. Rates can be tuned after they’re in.
Targets: I’m generally aiming to stabilize between 88% and 93% physical. Don’t shoot for 100%—that means empty shelves in a grocery store. If you’re pushing ~95%, raise rates, let a few move out, and re‑lease at the higher rate. Always have rentable inventory.
