What is Tenant Improvement?

What is tenant improvement and how can it be used to enhance your space? 

Tenant improvement, often referred to as TI, is a crucial aspect of leasing commercial real estate. But what exactly does it entail?

In simple terms, tenant improvement refers to the alterations made to a commercial space to meet the specific needs of the tenant. These improvements can range from cosmetic changes like painting and flooring upgrades to more substantial modifications such as installing updated fixtures or dividing the space into separate rooms.

At Smith & Son, we understand the importance of TI to grow your business. Understanding tenant improvement is essential for both landlords and tenants alike, as it plays a significant role in shaping commercial spaces to meet specific needs and requirements.

What is Tenant Improvement in California

What Qualifies as Tenant Improvement?

More than you might think! Commercial tenant improvement refers to any alterations, renovations, or additions made to a commercial space to meet the specific needs of a tenant. This could be anything from commercial kitchen upgrades to ADA-compliant building modifications. Essentially, any modifications made to the interior of a commercial property to make it more suitable for a particular tenant can be considered as commercial tenant improvements.

It’s all about creating a space that not only meets the tenant’s requirements but also enhances their overall experience and productivity. However, it usually does not include items like furniture, equipment, or ongoing maintenance costs. These are typically the responsibility of the tenant to provide and maintain.

Who Pays for Tenant Improvement?

One common question that arises is: Who pays for these tenant improvements? The answer typically depends on the negotiations between the landlord and the tenant. In some cases, landlords may offer a tenant improvement allowance as part of the lease agreement, providing funds for the tenant to make necessary modifications. Tenant improvement allowances are soaring as landlords strive to attract tenants in response to the growing popularity of remote work.

When Can Tenant Improvements Take Place?

Commercial tenant improvements can typically take place after the lease agreement has been signed and approved by both the landlord and the tenant. It’s important to review the terms of the lease to understand any restrictions or requirements related to renovations or improvements. Once everything is in order, you can start planning and executing the improvements to create a space that meets your needs and enhances your business operations.

Are you wondering if tenant improvements can take place while the space is occupied? The short answer is yes! Tenants can make improvements to their leased space while occupied with landlord approval, ensuring that any alterations comply with building codes and lease terms.

Why Choose Smith & Son for Your Tenant Improvement Needs


With years of experience in the construction industry, Smith & Son brings a wealth of knowledge and expertise to every tenant improvement project. Our team is skilled in handling a wide range of construction tasks, ensuring that your project is completed efficiently and to the highest standards.


We understand that every tenant has unique needs and preferences when it comes to space utilization. At Smith & Son, we work closely with our clients to tailor our services to meet their specific requirements, ensuring that their vision is brought to life.

Quality Workmanship

Quality is at the core of everything we do. From materials selection to craftsmanship, we prioritize excellence in every aspect of our work. You can trust Smith & Son to deliver superior quality results that exceed your expectations.

Timely Completion

We understand the importance of timely project delivery in the commercial real estate sector. With efficient project management practices in place, we strive to complete all tenant improvement projects within agreed timelines without compromising on quality.

Customer Satisfaction

At Smith & Son, customer satisfaction is our top priority. We are committed to providing exceptional service and building lasting relationships with our clients based on trust, transparency, and integrity.

Choose Smith & Son for your next tenant improvement project and experience excellence in construction services like never before! Let’s talk today!

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