For Absorption Rate we have terms and definitions in 2 topics. The topics are Commercial Real Estate and Real Estate.

Absorption Rate (Commercial Real Estate)

The percentage of space in a market either taken off the market or added back into the pool of existing office space. Typically a gain in market absorption represents space that is now leased, that was not previously leased, or in a negative absorbed market space that was leased, that’s now vacant.

Absorption Rate (Real Estate)

The rate at which rentable space is filled. Gross absorption is a measure of the total square feet leased over a specified period with no consideration given to space vacated in the same geographic area during the same time period. Net absorption is equal to the amount occupied at the end of a period minus the amount occupied at the beginning of a period and takes into consideration space vacated during the period.

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