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Glossary

Make-Good

A make-good, or restoration, clause requires a tenant to return leased space to a stated condition when the lease ends.

Make-Good

What it means

The clause may require the tenant to remove cabling, partitions, signs and special finishes, patch walls, restore ceilings and flooring, and repair damage. It may also require the landlord's approval of the contractor and the work.

What counts as the required condition is written in the lease, and it can range from broom clean to bare shell.

Why it matters

Make-good obligations can be large, and they usually arrive when a business is moving or winding down. The cost depends on how much was built, so a heavily customized space costs more to restore.

Tenants who plan for it at the start, by choosing materials and documenting conditions, often reduce the bill years later.

Make-GoodPHASE 1Site and leasePHASE 2Design and engineeringPHASE 3BuildPHASE 4OperateBUILD: TRADES ON THE PROJECTElectricalMechanical / HVACPlumbingLow voltage / securityInterior systemsCarpentry / millworkPainting / finishesDoors / hardwareSELF-PERFORMED BY HSM CREWS ON THIS TYPE OF WORK
How HSM delivers this work. Highlighted trades are self-performed by our own crews.

How HSM handles it

HSM can estimate restoration cost during the lease negotiation, so it can be weighed against other terms. We document the space before work begins and keep as-built records of what we install, including what is concealed above the ceiling.

When the time comes, our crews handle removal and restoration of electrical, mechanical, cabling, ceilings, walls and finishes. Because we self-perform these trades, we can schedule the work efficiently and avoid sending several companies to the same space.

What to plan for

Keep a copy of the original landlord condition report and the approved drawings. They are your best evidence of what was in the space when the lease started.

Raise restoration terms during lease negotiation, when you have the most leverage. Even small changes in wording can reduce the cost considerably.

Start a project

Talk to us before you sign the lease.

One contract, our own electricians and mechanical crews, and a space that is ready on handover.