U.S. construction trends and outlook (Q2 2015)
Construction costs continue to grow nationwide, and many landlords are looking to redevelop existing stock in major markets. Tenant improvements (TIs) are also gaining momentum, and office landlords are competing for by offering more attractive TI packages. These offerings allow tenants to customize interiors without paying for a full redesign out of pocket, and are a key piece of lease negotiations. The average TI allowance nationwide is $30.00 per square foot, and just over $50.00 per square foot in CBDs.