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We evaluate the advantages of using the extra dimension introduced by space-division multiplexing (SDM) for dynamic bandwidth-allocation purposes in a flexible optical network. In that respect, we aim to compare spectral and spatial super-channel (Sp-Ch) allocation policies in an SDM network based on bundles of SMFs (to eliminate coupling between spatial dimensions from the study) and to investigate the role of modulation format selection in the blocking probability performance with an emphasis on the spectral efficiency (SE)/reach tradeoff for different multiline-rate scenarios, created either by changing the number of sub-channels (Sb-Ch), or by employing different modulation formats. Our network-performance results show that DP-8QAM —in a multichannel (MC) single-modulation-format system assuming ITU-T 50-GHz WDM Sb-Ch spectrum occupation—offers the best compromise between SE and …