Tenant Improvement (TI)

Definition

Alterations made to leased space to suit a tenant's specific needs—the landlord's way of proving they care (usually minimally).

Example Usage

The landlord offered $50 per square foot in tenant improvements as part of the lease negotiation.

Origin

Commercial real estate jargon, standardized in the 1980s

Fun Fact

TI allowances are where landlords discover amazing math: $50/SF somehow never quite covers the tenant's actual needs.

Source: SIOR (Society of Industrial Office and Real Estate Developers) Standards

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