Construction of the Tenant Improvements Clause Samples
The "Construction of the Tenant Improvements" clause defines the landlord's and/or tenant's responsibilities regarding the design, construction, and completion of improvements or alterations to the leased premises before or during the tenant's occupancy. This clause typically outlines who will perform the work, the standards and specifications to be met, timelines for completion, and procedures for handling delays or changes. Its core function is to ensure both parties have a clear understanding of the scope, quality, and timing of construction, thereby minimizing disputes and facilitating a smooth build-out process.
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Construction of the Tenant Improvements. Construction or installation of the Tenant Improvements shall be performed by a licensed general contractor or contractors selected by Tenant and approved by Landlord, such approval not to be unreasonably withheld or delayed (the “Tenant’s Contractor,” whether one or more), pursuant to a written construction contract negotiated and entered into by and between the Tenant’s Contractor and Tenant and approved by Landlord. Each such contract shall (i) obligate Tenant’s Contractor to comply with all reasonable rules and regulations of Landlord relating to construction activities in the Building, (ii) name Landlord as an additional indemnitee under the provisions of the contract whereby the Tenant’s Contractor holds Tenant harmless from and against any and all claims, damages, losses, liabilities and expenses arising out of or resulting from the performance of such work, (iii) name Landlord as a beneficiary of (and a party entitled to enforce) all of the warranties of the Tenant’s Contractor with respect to the work performed thereunder and the obligation of the Tenant’s Contractor to replace defective materials and correct defective workmanship for a period of not less than one (1) year following final completion of the work under such contract, (iv) evidence the agreement of the Tenant’s Contractor that the provisions of the Lease shall control over the provisions of the contract with respect to distribution or use of insurance proceeds, in the event of a casualty during construction, and (v) evidence the waiver and release by the Tenant’s Contractor of any lien or right to assert a lien on all or any portion of the fee estate of Landlord in and to the Building as a result of the work performed or to be performed thereunder (and obligating the Tenant’s Contractor to include a substantially similar release and waiver provision in all subcontracts and purchase orders entered under or pursuant to the contract). Notwithstanding anything to the contrary, union labor shall not be required to be used for construction of the Tenant Improvements; provided, however, Landlord shall be permitted to withhold its consent to a contractor proposed to be utilized by Tenant to the extent such contractor would create a labor dispute at the Building or Project that could impair or affect the Landlord’s ability to operate the Building or otherwise provide the services it is required to provide to its tenants. In the event there is any labor dispute as a result of Tenant’s contract...
Construction of the Tenant Improvements. Prior to Tenant’s execution of the construction contract and general conditions between Tenant and its Contractor (the “Contract”), Tenant shall submit the Contract to Landlord for its approval, which approval shall not be unreasonably withheld or delayed. Landlord shall notify Tenant of its approval or disapproval (with reasons for any disapproval specified) of the Contract within five (5) Business Days after request thereof. Prior to the commencement of the construction of the Tenant Improvements, and after Tenant has accepted all bids for the Tenant Improvements, Tenant shall provide Landlord with a detailed breakdown, by trade, of the final costs to be incurred or which have been incurred, in connection with the design and construction of the Tenant Improvements to be performed by or at the direction of Tenant or the Contractor, which costs form a basis for the amount of the Contract (the “Construction Budget”), which for the sake of clarity shall include all hard and soft costs for the Tenant Improvements which are subject to reimbursement from the Tenant Improvement Allowance.
4.4.1 Prior to commencing construction of the Tenant Improvements, Tenant shall deliver to Landlord the following:
(a) The actual commencement date of construction and the estimated date of completion of the work, including fixturization;
(b) Evidence of all insurance required hereunder; and
(c) An executed copy of the Permits.
Construction of the Tenant Improvements. Landlord shall construct the Tenant Improvements in accordance with this exhibit and the construction contract to be executed by Landlord and its contractor(s). The construction contract for constructing the Tenant Improvements and the contractor(s) to perform the work shall be approved and/or selected, as the case may be, by Landlord at its sole and absolute discretion without the consent of Tenant.
Construction of the Tenant Improvements. 4.1 Tenant’s Selection of Contractors.
Construction of the Tenant Improvements. 4.1 Tenant’s Selection of Contractor and Tenant’s Agents.
Construction of the Tenant Improvements. 1Contractor. A contractor designated by Landlord, and reasonably approved by Tenant ("Contractor") shall construct the Tenant Improvements. In addition, Landlord shall have the right to select and/or approve of any subcontractors used in connection with the Tenant Improvements, provided that Landlord shall cause the Contractor to bid the major trade items for the Tenant Improvements (as determined by Landlord in Landlord's good faith reasonable discretion) to a minimum of three (3) subcontractors per trade, and the subcontractor with the lowest bid that commits to Landlord's scheduling requirements (after adjustment for inconsistent qualifications, clarifications and exclusions) shall be selected. All bids obtained by the Contractor from subcontractors shall be on an open book basis with Tenant. Where it is not practical and/or reasonable to bid any element of the Tenant Improvements (as determined by Landlord in Landlord's reasonable discretion), then Landlord shall select a subcontractor in its good faith and reasonable discretion.
Construction of the Tenant Improvements. (a) Tenant's Selection of Contractors.
(i) The Contractor. A general contractor shall be retained by Tenant to construct the Tenant Improvements. Such general contractor ("Contractor") shall be subject to the approval of Landlord, which approval shall not be unreasonably withheld.
Construction of the Tenant Improvements. 4.1 CONTRACTOR; TENANT'S AGENTS. EXHIBIT B -8-
Construction of the Tenant Improvements. Promptly following the execution of the construction contract pursuant to Section 5, Landlord shall direct Landlord’s Contractor immediately to commence and diligently to prosecute, in accordance with industry custom and practice, construction of the Tenant Improvements in accordance with the Final Plans. All Tenant Improvement work shall be carried out at such times as Landlord directs, in accordance with reasonable rules and regulations from time to time promulgated by Landlord and in such manner as to minimize, as much as reasonably possible, interference with other tenants and with the use of the common areas of the Building.
Construction of the Tenant Improvements. Landlord shall, at no expense to Landlord, assist Tenant in obtaining construction and occupancy permits. Upon obtaining all necessary permits for the construction of the Tenant Improvements and the necessary approvals from Landlord (as set forth above), Tenant may commence construction of the Tenant Improvements. The construction shall be performed by or on behalf of Tenant in a good and workmanlike manner and in compliance with all Applicable Laws.