TI Cost Control: Scope, Allowances and Change Decisions

Quick answer

Control a TI budget by tracking the complete scope, committed costs, allowances and proposed changes. A low initial estimate is not evidence of a low final project cost.

Establish one approved baseline

Create a budget that separates construction, design, approvals, equipment, furniture, moving and contingency. Record the date, assumptions and information used. Identify who can approve the baseline and who can authorize later changes.

Avoid presenting a preliminary estimate as a fixed commitment when investigations or design decisions remain open. State what needs to be resolved and when the estimate will be updated.

Reconcile bids before award

Give bidders the same current drawings and specifications. Compare exclusions, quantities, allowances, substitutions, access assumptions and schedule requirements. Ask for clarifications where scope differs. Do not assume that taking more bids produces a particular percentage saving.

Keep the agreed scope and clarifications with the contract. A spreadsheet comparison is less useful if the final contract omits the decisions made during review.

Make allowances visible

For each allowance, record the item, budget amount, selection deadline and purchasing responsibility. Update the forecast when the actual price is known. Distinguish allowances for defined items from contingency for uncertainty; otherwise the same risk can be counted twice or missed entirely.

Set the contingency with the project team based on the information available and the nature of the work. This guide does not prescribe one percentage for every project.

Use a change register

• Describe the proposed change and why it is needed.
• Identify cost and schedule effects, including related trades.
• Record the approval status and authorized decision-maker.
• Update the forecast and drawings where required.
• Keep the supporting proposal and final instruction together.

Establish the contractual process for urgent situations in advance. Do not assume every verbal site discussion authorizes additional paid work.

Forecast the final cost

Track the original commitment, approved changes, pending proposals, remaining allowances and known risks. Compare the forecast with the approved project budget regularly. Paid invoices alone do not reveal the full exposure because work may be committed but not yet billed.

Evaluate alternatives while they are still practical

Ask the project team to compare alternatives before procurement and installation. Consider effects on maintenance, performance, approvals and other trades as well as purchase price. Removing scope late can create redesign or cancellation costs that reduce the apparent saving.

Close out the budget

Reconcile allowances and changes, identify outstanding obligations and keep the cost record with the handover documents. Use the result to improve future estimates without claiming that a single project establishes a market-wide cost benchmark.

Sources and project-specific checks

• BDC guidance on protecting leasehold improvements

Sources checked October 5, 2026. This guide provides planning questions; the project team should confirm the requirements and current documents for the actual address and scope.

Continue planning

• Build a complete project budget
• Lease allowance conditions

For a project enquiry, send the city, address, proposed use and available drawings to build@buildershaus.com. Confirm contractor availability and scope directly.