Leasehold Improvement

A leasehold improvement is any change made to a leased property to meet the needs of the tenant. These improvements include changes to interior walls and ceilings, electrical and plumbing, and flooring, and can either be taken on by the landlord to increase the competitiveness of the space, or by the tenant themselves. In the event that the tenant undertakes the improvements, ownership of the improvements will typically revert back to the landlord once the lease has terminated, unless the tenant can remove the improvements without damaging the property.

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Hypothetical example(s) are for illustrative purposes only and are not intended to represent the past or future performance of any specific investment.

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