In tenant improvement negotiations, what is a common alternative to a tenant improvement allowance?

A turn-key project is a common alternative to a tenant improvement allowance because it offers a more comprehensive solution for tenants looking to customize a space. In a turn-key project, the landlord or property owner agrees to deliver a fully finished and ready-to-use space to the tenant. This means that the landlord will manage and oversee all aspects of the construction or renovation according to the agreed-upon specifications.

This approach can be preferable to a tenant improvement allowance, where tenants receive a specified budget to make improvements themselves. With a turn-key project, the tenant is relieved from the burden of coordinating contractors, ensuring compliance with building codes, and completing the construction within a certain timeframe. Instead, they can simply move in when the project is completed, providing a more straightforward and seamless transition into their new space.

In contrast, a sublease agreement involves the tenant leasing the space to another party, which does not directly relate to improvements or alterations of the leased space. Common area maintenance agreements pertain to shared spaces and the expenses involved in maintaining them, while an estoppel certification is related to confirming the terms of the lease agreement and is not a method for improving space. Therefore, a turn-key project is the most relevant option when discussing alternatives to a tenant improvement allowance.