Richard, the areas and floors are optional.
They can be used as part of a way to split up an RF Domain into different 'areas' and 'floors' of APs for use by SmartRF. Normally, all APs that exist within the same RFDomain are considered by the RF Domain Manager when making power/channel decisions. But sometimes there is a need to create separate 'areas' and 'floors' of APs even though they are logically populated into the same RF Domain or air space.
Doing this will cause the APs that are part of the same 'areas' and/or 'floors' to be considered as a separate group of APs...as though they were in their own separate RF Domain.
Normally the usage of grouping by 'floors' would be for indoor deployments, while grouping by 'areas' would be used in outdoor scenarios.
The 'areas' and 'floors' feature does not relate to 802.11k/v/r functionality in a direct way. The functions of k/v/r will operate the same whether or not 'areas/floors' is used or not.