Tenant Improvements

Reading the work letter before pricing anything

Most leases with improvement work attach a work letter or exhibit that says what the landlord delivers and what the tenant builds. Some are a page long and vague. Others spell out the base building condition, the allowance, the approval steps and the deadlines in detail. Before we write a proposal, we read the work letter alongside the lease drawings, because that document decides who pays for what and who we answer to for each part.

We look for the items that cause arguments later: whether restrooms are landlord or tenant work, who handles sprinkler modifications, who brings heating and cooling to the space, and what happens if the base building is not delivered as promised. Where the letter is unclear, we say so in writing, so landlord and tenant can settle it before construction rather than in the middle of it.

Our proposal then follows the same split the lease uses, so each party can see which line items belong to them.

If you are the tenant, we can walk the space with you before you sign. Seeing the unit with a builder can turn up items worth raising with the landlord, like a rooftop unit near the end of its life or a restroom that will never meet accessibility rules without being rebuilt. Who pays for those is far easier to settle before the lease is signed than after.

Approvals between landlord and tenant

On a tenant improvement job there are usually two approvals before the building department sees a drawing. The tenant approves the design, and the landlord approves it for the building. Landlords care about structure, the roof, shared systems and anything that affects other tenants. Many have their own rules for contractors in the building, covering insurance certificates that name the landlord, hours for loud work and how the loading area can be used.

We provide what the property manager asks for, follow the building rules and keep both parties copied on schedule changes. When the landlord's review sends the drawings back with changes, we price those changes separately, so the tenant can see what came out of the landlord's review.

Then comes the permit. Commercial permits usually require drawings from a registered architect or engineer, and the building department applies 780 CMR, 521 CMR and the ADA to the new layout regardless of who is paying for it.

Some landlords have their own base building standards: a specified ceiling tile, door hardware, lighting or storefront sign. We build to those standards where the lease requires them and tell the tenant early where they limit the choices.

You get regular updates, and an early warning the moment something threatens a lease date.

Keeping responsibilities clear during construction

Splits between landlord work and tenant work are easy on paper and messy in the field. In many leases the sprinkler main belongs to the landlord and the branch lines in the tenant space belong to the tenant, yet both are handled on the same day by the same licensed sprinkler contractor. We track those splits on every invoice and change order, so the right party pays for the right piece and nobody has to reconstruct it from memory afterward.

Changes follow the same rule. Each one notes who asked for it, which side of the lease it falls on and what it does to price and schedule. It gets approved in writing by the person paying before the work proceeds.

Allowances are tracked the same way. If the landlord is funding part of the work through an improvement allowance, we provide the documentation the lease calls for, such as paid invoices and lien waivers, so reimbursement goes smoothly.

Closeout paperwork is part of the same discipline. Landlords often want as-built drawings, permit sign-offs, product information from equipment suppliers and a list of finishes for future repairs. We gather it as the job goes, so it is ready when the tenant moves in and nobody spends weeks chasing it.

When the landlord is the one building

Sometimes the landlord builds the improvements before a tenant is found, or builds a space to a tenant's plan and recovers the cost through rent. In that case we work for the landlord and the lines are simpler, but the tenant's needs still shape the drawings, and we keep the tenant informed where the lease gives them a say.

Property managers with several spaces also turn units between tenants: taking out the last tenant's walls, patching floors and ceilings, and returning the unit to a clean, rentable condition. That work is smaller, but it follows the same rules for permits, building hours and clear paperwork about what was done and who paid for it. We document the condition of the space before and after, which helps the landlord settle the departing tenant's obligations under the old lease.

Lease dates and the delivery schedule

Tenant improvements live on deadlines that come from the lease: the date the premises are delivered, the date rent starts, and sometimes a penalty if the tenant is not open by a certain day. We build the schedule from those dates and show both parties which approvals and long-lead items could hold things up.

Inspections follow the permit as on any commercial job: rough framing, the licensed trades' rough inspections, any sprinkler or fire alarm changes and a final. We book them, attend them and send both parties the results, because a failed inspection can matter to a lease date as much as to the schedule.

Communication is the job here more than anywhere. Steve built this company on keeping customers informed, and on a tenant improvement the tenant, the landlord and the property manager all need to know where things stand. You get regular updates, and an early warning the moment something threatens a lease date.

At the end, we close out the punch list together, hand over the sign-offs and the paperwork the lease requires, and leave the space ready to move into. Modern Remodeling handles tenant improvements within about a hundred miles of Raynham. Call (781) 974-4263 to talk through your lease and your space.

See the rest of our commercial work, or browse the gallery for rooms we have finished.