The objective of space habitat design is to minimize mass and system size while providing adequate space for all necessary equipment and a functional layout that supports crew health and productivity. Unfortunately, development and evaluation of interior layouts is often ignored during conceptual design because of the subjectivity and long times required using current evaluation methods (e.g., human-in-the-loop mockup tests and in-depth CAD evaluations). Early, more objective assessment could prevent expensive design changes that may increase vehicle mass and compromise functionality. This paper describes a new interior design evaluation method to enable early, structured consideration of habitat interior layouts. This interior layout evaluation method features a comprehensive list of quantifiable habitat layout evaluation criteria, automatic methods to measure these criteria from a geometry model, and application of systems engineering tools and numerical methods to construct a multi-objective value function measuring the overall habitat layout performance. In addition to a detailed description of this method, a C++/OpenGL software tool which has been developed to implement this method is also discussed. This tool leverages geometry modeling coupled with collision detection techniques to identify favorable layouts subject to multiple constraints and objectives (e.g., minimize mass, maximize contiguous habitable volume, maximize task performance, and minimize crew safety risks). Finally, a few habitat layout evaluation examples are described to demonstrate the effectiveness of this method and tool to influence habitat design.