Being a landlord is effectively a business, so like any other business it makes sense to increase revenue. One of the simplest ways to do this is by making regular tenant improvements. What’s more, if these improve property value too, then all the better for you.
While tenant improvements can take up valuable time and resources, they’re an investment. Tenant improvements can come in many forms, but it’s best to focus on ones that provide value for both you and your tenant. Here are 6 tips for tenant improvements in San Diego.
1. Plan before anything else
Initial plans are vital for ensuring everyone is on the same page during the tenant improvement project. Also, it’s necessary for you as the landlord to have a say in what’s going to happen. It’s important for you to have a voice from the start considering it’s your space. Invite dialogue with your tenant so that you can agree on the design process.
2. Decide which improvements are best
The best improvements are often the ones with value for money. It could be a simple bit of decoration, or a complete gutting and renovation of the space. Whatever it is you go for, make sure you’re getting the best value for your money.
3. Balance wants with needs
Finding the right balance between wants and needs – for both you and your tenant – can be difficult. However, delays and issues during the tenant improvement process might force you to choose between things you want and need. It’s best to decide this at the beginning so it’ll be easier later.
4. Know the regulations
This almost goes without saying, but make sure you know all the relevant regulations that might cover your tenant improvement project. This could be things like zoning regulations or permits, but make sure you know them. Similarly, make sure your contractor knows too.
5. Plan your budget
Having an intelligently budgeted project is essential to success. One of the keys to a good budget is knowing that things might go wrong, and then planning for it. Be upfront about the budget with everyone involved, and have regular updates to ensure everyone is sticking to it.
6. Think about the future
When it comes to tenant improvement, think about what might happen in the future. Consider that you might not have the same tenant for the long-term, and so think what improvements would benefit you more than them. If your tenant will be with you for a long time, then space the improvement projects out.
Tenant improvements should benefit both the tenant and you, but this requires proper planning. You should focus on improvements that benefit the space, along with the tenant. Proper planning and open communication are vital to ensuring an effective and beneficial tenant improvement project.
If you’ve been thinking about tenant improvements, then contact AH Construction. We’re a leading construction firm in San Diego that has years of experience working on tenant construction projects.