Tenant improvements can create an important rent review issue because works paid for by the tenant may have increased the usefulness or rental value of the premises.
Are improvements disregarded?
Many open-market clauses require qualifying tenant improvements to be disregarded, but the wording and factual circumstances determine the treatment.
Evidence to retain
Licences for alterations, drawings, invoices, photographs and records of the original premises can become important when establishing what works were undertaken and by whom.
Mezzanines and additional accommodation
Tenant-created mezzanines or additional offices should not automatically be included in the rent review valuation. The lease and circumstances require analysis.