TI Allowance Tracking in Office Leases

Tenant improvement allowances represent significant capital obligations that must be tracked against disbursement deadlines, commencement conditions, and any landlord-work completion requirements embedded in the lease. When TI obligations are not systematically monitored, disbursement deadlines lapse, conditions go unverified, and tenants dispute completion timelines retroactively. The exposure is compounded when allowances are tied to commencement date determination — because rent commencement timing errors then cascade downstream.