Please Rotate Your Device
Even in the event that you find the perfect space for your business, every premises will require a little tender loving care, or perhaps just a few tweaks to ensure it fits your brand and culture - that is where your Landlord's Work clause comes into play.
But what about some of the items that worked while on tour and you want to ensure they will still work when you get access to the space? For this we need a clause called "Landlord's Work"...even if there really is not any work to be done.
For instance, you may tour the space in February but do not take possession until June, and maybe it was occupied during the tour and you do not know what happened after the previous tenant moved out.
Here is a sample list that will provide you a good head start (you will need to consult with your broker and construction crew for specific items that pertain to your specific space):
The Landlord agrees to comply with and perform at its cost work, hereafter described as landlord?s work (the "Landlord's Work"), prior to the Fixturing Period (Note: Fixturing Period would have been previously defined in your offer to lease).
Note: if the premises need to be demised, it should be stated that it will be demised at the landlord's expense and properly labelled on the floor plan. Find out how demising space could be a nightmare.
This is not a one size fits all list - rather it covers the bases and is designed to generate a few ideas or fill a few gaps on items that may have been overlooked - ensure that you do consult with your construction crew before starting the negotiation with the landlord. Missing landlord work items means that you will end up having to do the work and usually pay the cost of any items that are missed.
While you are focused on the work to be done before entering your space, ensure that you have a favorable exit clause. Most leases state that the tenant must restore the tenant improvements back to a base building condition.