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In the literature, SDMA cellular networks have been studied from system level point of view by means of teletraffic analysis considering the resource assignment and users' mobility related quantities (i.e., beam overlapping time and beam overlapping rate) based only on geometrical considerations. However, the effect of realistic users' mobility, channel characteristics, co-channel interference, and the number of users sharing the same channel within a cell (intra-cell reuse factor) have been largely ignored because the complexity its inclusion entails. To fill this void, a system level model that models both smooth random mobility of users and link unreliability due to (intra-cell and inter-cell) co-channel interference is proposed. Novel mathematical expressions for the new call blocking probability, handoff failure, and probability of interruption due to co-channel interference are derived. The system level model presented here allows simplifying system level mathematical analysis and easily identifying the factors that mainly influence the system performance. Such understanding is vital for planning, dimensioning and optimizing SDMA mobile cellular networks.