The performance of the structure is defined in terms of five ranges of damage states. These are the elastic no damage state, minor, repairable, unrepairable damage and ultimately the structure is in the state of extensive damage and progressive collapse. An approach is presented for relating the various stages of damage and their probability of exceedance to drift and peak ground acceleration. The defined performance levels and their relationships to drift are correlated with the force-roof displacement relationship from a pushover analysis for use as a performance evaluation procedure. A three story reinforced concrete office building located in Victoria B.C., Canada is used as an example to demonstrate the methodology. The building is subjected to a set of ground motion records scaled to various peak ground acceleration levels. A nonlinear dynamic analysis is performed to evaluate the response of the structure. The results of the dynamic analysis established the statistical state of damage in terms of damage levels and the relationship between the damage levels and the peak ground acceleration and drift. To assist in the damage evaluation, a damage index is used in the analysis. For performance evaluation, the damage levels are introduced to the force-displacement relationship from the pushover analysis. The performance level criteria in terms of damage potential are related to the story drift and to the probability of exceedance. For a given design, the pushover analysis when related to the dynamic performance of the structure, will provide a reliable performance evaluation procedure. This chapter presents an approach for relating the various stages of damage to drift, peak ground acceleration peak ground acceleration, and the probability of exceedance of the damage levels. The idea of target performance definitions is useful in the design of new structures and in the rehabilitation of existing buildings. It provides a better understanding of the expected behaviour of the structure which helps to increase the safety levels at a lower cost. In effect the drift from the static pushover analysis is related to the dynamic performance level of the structure in terms of levels of damage potential. The static drift of the pushover analysis can be related to the dynamic performance of the structure in terms of ground motion characteristics, damage level and probability of exceedance. For a given design, the pushover analysis when related to the dynamic performance of the structure, will provide the needed performance evaluation procedure.