Over the years, Project Management has assisted many building owners with a variety of needs. Tenant improvements (TI) have become increasingly popular as owners take a proactive approach to vacancy.

Timing of Improvements

We have learned that the best time to start a TI project is before a tenant has been identified, as a way to make vacant space more attractive to prospects. The concept has paid off for owners who have taken this approach. Prospective tenants see an engaged owner willing to take care of the site, and it speeds up the process due to them not having to adjust to a construction timeline. Additionally, when improvements are properly managed, the results shine during showings. That means prospective tenants can easily imagine themselves in the space as opposed to envisioning a used and potentially drab space as their own. Taking the design and construction stress off tenants allows them to focus on their business and eliminates much of the stress involved. They can quickly pivot to working with the engaged project manager to accomplish their needs and complete the space to their satisfaction.

What About Matching the Design to the Tenant?

Improvements come in many shapes and forms. When an architect originally plans a building, they lay out most of the amenities. Most spaces lend themselves to one or two configurations, with some optional add-ons. Offices, restrooms, board rooms, reception areas and break rooms are typically located in obvious locations within a building space, and they can be plug-and-play for future users. By adding or improving these spaces prior to a tenant lease and leaving the optional spaces wide open, prospective tenants can check off some of their basic needs without worrying about designing from scratch. Adding more optional rooms, such as offices or additional meeting rooms, after a space is rented is a much easier task. Options for “color boards” can be displayed at the entrance showing color combinations for paint and flooring, allowing a tenant to make their own selections to create a unique space without changing the cost of the project.

Curb Appeal Matters

Finally, improvements to first impressions should be part of the design and construction process, too. Traditional curb appeal is a very real thing as we work to combat vacancy. Updates from the property entrance all the way to the front door can have a “make-it or break-it” impact on visitors. Here’s a checklist of things to consider to improve commercial listing curb appeal:

• Signage is current and not faded
• Lobby and exterior lights are bright and in working condition
• Parking lot lines are painted
• Trees are trimmed, as well as mulch and rock in their proper places
• Surfaces are repaired, and the overall feel of the property is clean and inviting

Whether completing a major speculative improvement or refreshing an existing floor plan, most building owners can lease space quicker by taking the construction burden off prospective tenants and creating an opportunity for faster decisions and move-in dates.

If this is an idea you wish to deploy to combat vacancy, reach out to our Project Management Team for thoughts and options.

This article appeared in our company newsletter in June of 2024. Please click here to download the entire newsletter.