I think what that means is that residential buildings don’t need to have individuals shut-offs for each fixture , and hotels, etc can have a shut off for each guest room rather than for each fixture but that all other buildings (stores, factories, office buildings,warehouses, schools etc) must have a shut off for each fixture. Although that doesn’t make a whole lot of sense, either - I can’t see why an office building would need a shut off for each toilet rather than one for each restroom.
An office building has a greater need for a bathroom to remain in service if one fixture breaks, because it serves a large number of people.