Improvements for Your Commercial Space
Most often, any space you rent will need to be fixed up or modified before it’s suitable for your use. This may range from the simple to the complex to everything in-between.
Alterations and Improvements in a Commercial Tenancy
After you’ve moved in, you may want to improve or alter your commercial space. The key to a good lease clause covering mid-lease improvements is to separate minor improvements (those that do not need the landlord’s approval) from major work, which the landlord will rightly want to know about and approve ahead of time
The Tenant Improvement Allowance
Most commercial tenants want to customize their space. A “tenant improvement allowance” (known as a TIA or a TA) is a common arrangement for paying for these improvements. The Tenant Improvement Allowance (TIA or TA) is money set aside for the tenant to use to customize his space.
Expansion Rights in Commercial Leases
Many businesses start small but grow, needing additional space. When you negotiate your lease, plan now for that happy event—negotiate an expansion clause, and structure it so that it gives you both certainty as to the rent, and flexibility as to when and how you may exercise the right to expand.
Contraction Rights (Options to Lease Less) in Commercial Leases
Since it’s not always easy to anticipate future business needs, you’ll want to build in flexibility when negotiating a lease with your landlord.