Price Per Door

Break-Even Occupancy

How full does the property need to be to cover operating expenses and debt service? The lower the number, the more room you have if leasing slows.

Break-even occupancy78.8%
Cushion vs. 90% occupancy11.2 pts
Cushion vs. 93% occupancy14.2 pts

Houston operators generally want break-even occupancy well below the submarket’s stabilized level. With metro occupancy in the high 80s, a break-even above 85% leaves little cushion.

For education only. Not investment, tax or legal advice.

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