A lot goes into choosing the perfect office space for a business. If you can’t find a space that perfectly fits your needs, the next best thing is to build one out. With the right contractor and capacity, you can create a space that fits your business.
What Is a Tenant Build-Out Project?
A tenant build-out project is a custom interior build designed around your needs. Also referred to as a leasehold improvement, this project involves the renovation of an existing space specifically fitted to your business needs. This is in comparison to a commercial alteration, which involves the interior and exterior renovation of an existing space to accommodate a new tenant’s needs.
Benefits of a Tenant Build-Out Project
The biggest benefit of a tenant build-out project is that the tenant gets control over their space. Certain professionals, including medical offices, retail distributors, or restaurant owners may require customized space to meet their business needs.
A tenant build-out project can also be a more affordable approach to office space, especially when compared to ground-up construction. With a build-out project, the foundation is already present, which can also help with speeding up the time to completion.
Inclusions/Exclusions of a Tenant Build-Out Project
A tenant build-out project typically includes:
- Demo or removal of existing walls.
- Paint.
- Building new walls.
- Electrical work.
- Plumbing work.
- Adherence to disability requirements.
- Addition of lighting or windows.
- HVAC work.
- Doors.
- Electrical outlets.
It’s also important to know what may not be included in a tenant build-out project. While this varies among property owners and businesses, tenant build-out projects don’t typically include things like exterior signage, phone installation, or office furniture. Specialized requests may also need to be approved by the property owner.
Calculating Your Project Budget
Calculating your budget should be the first step in planning a tenant build-out. Depending on the features included in the build, the price range can vary significantly. The property owner may offer an allowance to new tenants who sign an extended lease. Knowing what this allowance is can help you plan for your new business space. Some tenants may negotiate a full renovation build-out project, especially if they work within a different industry than the building’s previous tenants.
Things To Consider When Planning a Tenant Build-Out Project
Choosing the right contractor is crucial when planning a project. You need a construction manager who can help you visualize the new space and plan out all the requirements of your area. The right construction team can also help you stay within your intended timeline and budget. We also know that the right business space is crucial to your business processes and team morale.
At Michael Walker Construction, we know how important your space is to your business. With every project, we aim to bring the client’s vision to life without interrupting daily operations.
Tenant build-out projects have many advantages over a full build, including cost and time savings. Yet, they still offer the ability to fully customize a space so that it meets your business needs. Contact Michael Walker Construction today to learn more about customized build-out projects.