A broker I have worked over the years recently asked me what work is customary for a landlord to perform or pay for after a tenant leases a shell condition space.

The question is a tricky one because this can vary between landlords and fluctuate based on economic conditions.  In a good economy, “Landlord Work” is typically not as extensive because filling office space is easier and there are often multiple tenants going after the same suites.

In general, Landlords will only preform pre-lease space prep (or offer to contribute to construction dollars) that would be required for virtually all users.  There is no such thing as a standard Landlord Work list because every situation can slightly vary. That said, Landlords almost always are responsible for the following:

– Electrical panel(s) in code compliant closet(s)

– Life Safety panel(s) in code compliant closet(s)

– Fire Sprinklers coverage throughout

– Mechanical main trunk ductwork loop

– Doors, frames & hardware around the building core

– Abatement of hazardous materials

– Functional window covering

– A concrete slab that will not require extensive leveling or in-fills

– The removal of major equipment from previous tenants

– The removal of existing unused data cabling

– Providing a paint-ready surface to the perimeter and building core drywall

 

There are likely several others that could be debated here, but if you notice that any of items on this list that are not being provided by the Landlord on your next build-out, you need to ask why this exception is being made.