CAPEX, TI, or maintenance?
What is the best practice to differentiate between a CAPEX investment from a Tenant Improvement or Maintenance?
Thank you for your inquiry. A CAPEX is a capital expenditure that adds to or upgrades the useful life of an asset and is typically a one time expense like a new roof, new HVAC, plumbing or electrical. Tenant Improvements are custom improvements to configure space to meet tenants needs. For example, change to walls, lighting fixtures, floors.