Tenant Improvement Offer

[Jessica K.]

One of my tenants has inquired about getting a new fence, and offered to pay for it themselves. The existing fence works, but a new fence would definitely be an improvement to the property and increase the value. The policy in the lease is that tenants should not make any changes to the property, but I would like the opportunity to make exceptions when it makes sense.

I will require this to be done by a bonded and insured contractor, and require them to sign a physical document that outlines the terms and costs involved. I don't want there to be any gray area, so I want to tell them either:

A. I will do research, and get 3 bids. I will review those bids with you and get your feedback, but ultimately I will choose which bid to move forward with. If they agree to it, we can sign off and move forward.

B. Tenant will do research and get 3 bids. I will review those bids with you and get your feedback, but ultimately I will choose which bid to move forward with. If they agree to it, we can sign off and move forward.

Once we get past the actual scope of work involved, then there is the management of the contractor. I feel like I should be the one in charge of that. I also want to be very clear with the contractors that we need full project costs upfront, not an hourly rate or estimate.

Does anybody have experience with this? Are there any concerns I should have that I'm not considering?

[Natalie Kolodij]

Originally posted by @Jessica K.:

@Timmi Ryerson I appreciate the response! They do have a dog, they're worried people will be able to peek in and see the dog since they had issues in the past with the dog being stolen. I'll be sure to get it in writing that no reimbursement is expected, I want to be sure that doesn't come back to haunt me.

 I can definitely understand that- I own a bulldog which is super commonly stolen. And they're dumb and friendly...so they're basically a  $2,500 pile of friendly cash when sitting in plain view. 

I think if it's very clear in a contract of no reimbursement, you choose the installer ect I would go forward with it.