Negotiations and understanding the process are two key parts when it comes to a successful commercial tenant improvement project. Whether you’re a tenant or a landlord, setting the right budget to ensure tenant retention and increased property value is essential.
AMJ Construction in Vancouver offers residential and commercial renovations. They share some tips to get the most out of your tenant improvement project:
Understand the construction and costs
Before entering into any negotiations, it’s important to understand what the costs entail. The amount of construction needed, the materials, permits, and labour all play a role. With a tenant improvement allowance (TIA), the tenant negotiates with the landlord for a set amount of money to renovate. As a cost per square foot usually settles allowances, you risk not getting the right budget for the work if you negotiate with just an idea. Connecting with general contractors in Vancouver can help you discuss and plan your commercial renovation. Then, you’ll have a better idea of how much you’ll need in the budget to achieve your goals.
Prioritize the work
How you prioritize any work will depend on whether the space itself is finished or not. In a finished space, one with walls, windows, and doors, it’s better to focus on visual improvements. Repainting the walls or installing new flooring will go a long way in making the space feel new. Depending on if it’s for a restaurant, retail store, office, or another type of business, you’ll have to build within the space so it best meets your business’s needs.
For a new space, it’s essential to focus on what will improve the space most or appeal to certain tenants. Commercial renovations in Vancouver can change the interior layout and design. Remember that a TIA may not cover the whole cost. Focus on what changes will add the most value and function.
Avoid turnkey
Tenants either receive the TIA directly, or the landlord controls everything with a turnkey tenant improvement. With a turnkey, the landlord handles the building logistics, manages the process, and decides how much of the allowance is spent. The problem here is that the tenant loses any say or control of the work. That’s why it’s generally best for the tenant to control the project to ensure the right changes or additions get done. View some examples of typical tenant improvements.
Hire a professional company
Working with a professional Vancouver general contracting company from the start is the best way to maximize your TIA allowance and plans. AMJ Construction can help with early planning and goal setting to help create the right budget for those plans. Then, once construction begins, their team will handle the logistics, work, and manage the project to ensure timeliness and quality work.
Start planning your tenant improvement renovation. Contact AMJ Construction!
