Financial occupancy refers to the percentage of the total gross leasable area within a property for which a tenant is obligated to pay rent. This metric provides insight into the portion of the property that is generating rental income based on lease agreements. Unlike physical occupancy, which measures the actual occupied space, financial occupancy focuses specifically on the contractual obligations of tenants to pay rent for the space they occupy. By assessing financial occupancy, property owners and managers can evaluate the revenue-generating potential of their assets and track the performance of lease agreements in terms of rent collection.