What is a Tenant Improvement Allowance?
A Tenant Improvement Allowance is a contribution of money towards the build-out cost of your restaurant.
Often referred to as ( TIA or TI ) in a letter of intent or lease agreement, the tenant improvement allowance is typically a dollar amount multiplied by the square footage or size of the rental space.
The tenant or tenant’s restaurant real estate advisor will request a tenant improvement allowance in the letter of intent.
“Landlord shall provide a Tenant Improvement Allowance (“TI Allowance”) in the amount of ($35.00 per square foot) for the construction of Tenant’s improvements in the Premises.”