Tenants’ Improvements and Betterments (TIBs)

By |2016-10-25T10:00:22-04:00October 25th, 2016|Categories: Developers, Investing|Tags: , , , , , , , , |0 Comments

Tenants’ improvements and betterments (or TIBs) are when a renter makes changes to a property or building that will increase its value. As a commercial landlord, your lease should include a clause about these upgrades and how they become your property at the time of the update. These improvements could include anything from installing new carpet, adding fixtures, or even building an addition. Basically, this means that anything your tenant attaches to your building permanently becomes yours. Who Covers the Expenses of Insurance? How you go about insuring these items depends on your lease. If your tenant is responsible for maintaining the