What is an Amortized Tenant Improvement Allowance & How Can It Help Pay for My Office Build-Out? [Video]

If you are in the middle of an office build-out project or planning one soon, we understand how stressful it can be to worry about going over budget.

Here at AQUILA, we know projects can exceed their budget for a variety of reasons, and our project management team are experts at helping their clients find ways to pay for those excess expenses.

One option, known as an “amortized tenant improvement allowance” or “amortized TI”, can be an effective way for a tenant to do just that.

Read Now: What Is a Tenant Improvement Allowance and What Does It Cover?

In this article, you will find:

• An overview of amortized TI
• Benefits of amortized TI
• Limits on amortized TI
• Alternatives to amortized TI

What is an Amortized Tenant Improvement Allowance?

An amortized tenant improvement allowance is a mix between a TI allowance and a loan from the landlord.

It is a provision that can be negotiated into a lease that enables the tenant to …