Hi guys I have a problem understanding this question from the ARE5 prcatice exam. It's seems straight forward but i still don't understand it. Can anyone help
The developer of a retail shopping complex has estimated through an economic analysis that he can afford to build up to 85,000 of gross building area. A central enclosed pedestrian mall will occupy 6% of the building, and the efficiency ratio is estimated to be 75%, Approx. how much net rent able area will be available.
The answer is A but what I dont understand is why the 6% is removed from the gross before the Net is calculated
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