Techniques for managing space in a flash storage-based cache are provided. In one embodiment, a computer system can calculate “ratio of effective cache space” (rECS) values for a plurality of VMs, where each VM has a cache allocation comprising a subset of a global pool of cache blocks in the flash storage-based cache, and where the rECS value for the VM indicates a proportion of the subset that has been populated with cached data and re-accessed by the VM within a current time window. The computer system can further determine a new cache allocation size for at least one VM in the plurality of VMs based on the rECS values. The computer system can then adjust the number of cache blocks in the at least one VM's cache allocation based on the new cache allocation size.