You’ve just signed the lease on your dream retail location. Maybe it’s a storefront on South Congress, a space in The Domain, or a strip center spot in Cedar Park. The landlord mentions “tenant improvements” and you’re suddenly navigating a world of electrical requirements, code compliance, and construction timelines. If you’re feeling overwhelmed, you’re not alone.
Tenant improvements—or TI work—can make or break your retail space’s functionality and your ability to open on time. When it comes to electrical systems, proper planning isn’t just about flipping light switches. It’s about creating a space that serves your customers, supports your operations, and meets all the requirements that keep you legally and safely in business.
Let’s walk through what you need to know about electrical considerations for your Austin retail tenant improvement project.
Understanding Tenant Improvements: Who’s Responsible for What?
Before we dive into electrical specifics, it’s crucial to understand the tenant improvement landscape. Your lease likely includes a TI allowance—money the landlord contributes toward improving the space. But here’s where things get complicated.
Shell Condition: Some retail spaces are delivered as “vanilla shell” or “warm shell,” meaning basic electrical service exists but little else. You might have a panel and some rough electrical, but you’ll need to install lighting, outlets, and specialized circuits.
Second-Generation Space: If you’re moving into a space previously occupied by another tenant, existing electrical infrastructure may or may not suit your needs. That coffee shop’s electrical setup won’t work for your boutique fitness studio.
Ground-Up Retail: In new construction developments popping up around Austin—particularly in areas like Pflugerville and Leander—you might be working with a space that’s never been finished.
Understanding what you’re starting with determines your electrical scope and budget.
The Critical First Step: Electrical Load Analysis
Before you start picking out light fixtures or planning where your point-of-sale system goes, you need a load analysis. This is where a commercial electrician evaluates:
Your Existing Service: Does the space have adequate electrical service to support your business type? A nail salon has very different requirements than a restaurant or clothing boutique.
Panel Capacity: Is there enough space in the electrical panel for the circuits you’ll need? Can it handle your anticipated load?
Future Expansion: Smart retailers plan ahead. If you might add equipment or expand services later, your electrical system should accommodate growth.
At Aztec Electric, we’ve completed tenant improvement projects across Austin for over 30 years. We’ve learned that starting with a thorough electrical assessment saves time, money, and headaches down the road. Many tenants discover during construction that their panel needs upgrading—a surprise that delays opening day and busts budgets.
Lighting: More Than Just Aesthetics
Retail lighting serves multiple purposes: showcasing products, creating ambiance, ensuring safety, and managing energy costs. Your electrical plan needs to support all of these goals.
Types of Retail Lighting Circuits
General Ambient Lighting: Your overhead lighting system needs proper circuitry to handle the load. Many retail spaces benefit from multiple circuits, allowing you to control different zones independently.
Accent and Display Lighting: Track lighting, display case lighting, and spotlights help merchandise shine. These often require dedicated circuits and dimming capabilities.
Emergency and Exit Lighting: Code requires emergency lighting and illuminated exit signs. These must be on separate circuits and often need battery backup.
Exterior Signage and Security Lighting: Your storefront sign and security lighting require weather-rated circuits and often photocells or timers.
The LED Conversion Opportunity
If you’re taking over an older retail space in Austin, chances are it has outdated lighting. This is your opportunity to convert to LED, which can reduce your lighting energy costs by 50-75%. However, LED fixtures have different electrical characteristics than older fluorescent or incandescent fixtures. Your electrician needs to ensure compatibility with existing circuits or modify them accordingly.
Central Texas energy costs aren’t getting cheaper. The investment in proper LED lighting pays for itself quickly, especially in retail spaces with long operating hours.
Point-of-Sale and Data Infrastructure
Your POS system is your retail lifeline. Inadequate electrical planning here can mean frustrated customers, lost sales, and operational nightmares.
What You’ll Need
Dedicated Circuits for POS Stations: Each checkout counter should have dedicated circuits. Mixing POS systems with other loads can cause power fluctuations that crash your system at the worst possible moments—like during your grand opening weekend.
Backup Power Considerations: Some retailers invest in UPS (uninterruptible power supply) systems or battery backup for POS equipment. Your electrician needs to account for this in your electrical plan.
Network and Low-Voltage Wiring: While not technically electrical work, many commercial electricians (including Aztec Electric) coordinate low-voltage installations for data, phones, and security systems. Running these during your TI work is far easier than adding them later.
Strategic Outlet Placement: Think beyond the checkout counter. Where will you need power for tablets, mobile POS systems, or demonstration equipment? Planning outlet locations now prevents unsightly extension cords later.
Specialized Equipment Circuits
Every retail business has unique electrical needs. Here are common requirements by business type:
Restaurants and Food Service
- Commercial kitchen equipment (ovens, fryers, refrigeration)
- Hood ventilation systems
- Multiple 240V circuits for cooking equipment
- Three-phase power for larger equipment
- Grease trap and fire suppression systems
Salons and Spas
- Multiple dedicated circuits for styling stations
- Specialized circuits for spa equipment
- Proper GFCI protection in wet areas
- Adequate ventilation systems
Boutique Fitness Studios
- High-capacity circuits for cardio equipment
- Sound system infrastructure
- Climate control systems that can handle high occupancy
- Charging stations for clients
Retail Shops
- Display case lighting circuits
- Security system infrastructure
- Charging stations for electric bikes/scooters (increasingly common)
- Window display circuits separate from general lighting
HVAC Coordination: The Overlooked Essential
Your comfort system is often the single largest electrical load in your retail space. In Austin’s climate, HVAC isn’t optional—it’s survival.
Right-Sizing Your System: Your HVAC contractor and electrician need to coordinate. An undersized system means unhappy customers. An oversized system wastes energy and money. Both scenarios require proper electrical capacity.
Circuit Requirements: Commercial HVAC systems often require 240V circuits and sometimes three-phase power. Your electrician needs to verify your space can support this.
Energy Management: Consider programmable thermostats and energy management systems. These require proper electrical integration and can significantly reduce operating costs.
Texas Heat Factor: Remember that retail spaces with large windows—particularly desirable South Congress or Domain locations—face significant solar heat gain. Your electrical system needs to support the HVAC load required to overcome this.
Code Compliance: Non-Negotiable Requirements
Austin and surrounding cities have specific electrical code requirements for commercial spaces. Non-compliance can result in failed inspections, delayed openings, fines, or worse—safety hazards.
Key Code Considerations
Occupancy Load: Your electrical system must support your space’s intended occupancy. A boutique and a busy coffee shop have very different requirements.
ADA Compliance: Outlet heights, switch locations, and lighting controls must meet Americans with Disabilities Act requirements.
Emergency Egress Lighting: Code mandates specific emergency lighting levels and battery backup durations.
GFCI and AFCI Protection: Modern code requires ground-fault and arc-fault protection in specific locations. These aren’t suggestions—they’re requirements.
Proper Grounding: Commercial spaces require robust grounding systems. This protects equipment and people.
Local Jurisdiction Differences
Here’s something many retailers don’t realize: electrical code requirements can vary slightly between Austin, Cedar Park, Round Rock, and other surrounding cities. An electrician familiar with local jurisdictions knows these nuances and helps ensure smooth inspections.
At Aztec Electric, we regularly pull permits and work with inspectors across the greater Austin area. We know what each jurisdiction expects and how to get your project through inspections without delays.
Permits and Inspections: Plan for the Process
Any significant electrical work in a commercial space requires permits. This isn’t red tape—it’s safety verification and legal protection.
The Permit Process
Submittal: Your electrician submits plans and specifications to the local building department. This takes time—sometimes weeks depending on the jurisdiction and project complexity.
Plan Review: The city reviews your electrical plans. They may have questions or require modifications.
Work Authorization: Once approved, work can begin. But remember: permitted work must be done by licensed electricians.
Inspections: Expect multiple inspections—rough-in (before walls close up) and final. Failed inspections mean delays.
Timeline Realities
Many retail tenants underestimate permit timelines. In growing Austin suburbs like Georgetown or Leander, building departments are busy. Factor in:
- 2-4 weeks for plan review and permit approval
- Your construction timeline
- Inspection scheduling (which might not happen immediately when you’re ready)
- Potential re-inspections if issues arise
Starting your electrical planning early—ideally before you sign the lease—keeps your project on schedule.
Budgeting for Electrical TI Work
One of the most common questions we hear: “How much will electrical TI work cost?” The honest answer is: it depends on numerous factors.
Cost Variables
Space Size: A 1,000-square-foot boutique and a 5,000-square-foot restaurant have dramatically different electrical needs.
Existing Infrastructure: Upgrading an existing panel is cheaper than installing a new service.
Business Type: A simple retail shop costs less than a restaurant or salon with specialized equipment.
Finish Level: Basic contractor-grade materials versus designer fixtures affect costs.
Timeline: Rush projects cost more. Planning ahead gives you better pricing.
Typical Budget Ranges
For general retail spaces in the Austin area:
- Basic Retail (Clothing, Gifts): $8,000-$25,000
- Service Business (Salon, Office): $15,000-$40,000
- Restaurant/Food Service: $30,000-$100,000+
- Specialized Retail (Fitness, Medical): $20,000-$60,000
These are rough estimates. Every space is different. This is why detailed estimates from licensed electricians are essential.
TI Allowance Strategy
If your landlord provides a TI allowance, use it strategically. Electrical infrastructure is foundational—it’s not something to cut corners on. We often recommend tenants prioritize:
- Adequate electrical service and panel capacity
- Code-compliant lighting and circuits
- Proper HVAC electrical support
- Then allocate remaining funds to aesthetic improvements
Energy Efficiency: The Long Game
Your electrical TI work isn’t just about opening day—it’s about operating costs for years to come. Energy-efficient electrical design pays dividends.
Smart Investments
LED Lighting Throughout: The upfront cost is higher, but the energy savings and reduced maintenance make LEDs a no-brainer.
Occupancy Sensors: Automatically turn off lights in stockrooms, restrooms, and during closing. Simple sensors can reduce lighting costs by 20-40%.
Programmable Controls: Smart switches and timers prevent “forgot to turn off the lights” energy waste.
Energy-Efficient Equipment: When selecting HVAC, refrigeration, or other equipment, consider energy consumption. Your electrician can help ensure you’re using appropriately sized circuits that don’t waste power.
Austin Energy Rebates
Don’t overlook available incentives. Austin Energy and other local utilities offer rebates for energy-efficient improvements. Your electrician can advise on qualifying improvements and help with documentation.
Working with Your General Contractor
Most TI projects involve a general contractor coordinating multiple trades. Your electrical work needs to mesh with plumbing, HVAC, framing, and finishes.
Coordination Points
Timing: Electrical rough-in happens after framing but before drywall. Your electrician needs access at the right time.
Communication: Changes during construction are common. Your electrician and GC must communicate to avoid conflicts or missed work.
Shared Costs: Some work overlaps trades. Who’s installing the panel? Who’s coordinating trenching for underground service? Clear contracts prevent disputes.
Final Walkthrough: Before your GC signs off, walk through with your electrician. Verify everything works and meets your needs.
The Value of Experience: Why Your Electrician Choice Matters
Not all electricians are created equal, and commercial TI work demands specific expertise.
What to Look For
Commercial Experience: Residential electricians might not understand commercial code requirements, three-phase power, or the permitting process for commercial spaces.
Local Knowledge: An electrician familiar with Austin-area jurisdictions navigates the process smoothly.
Communication Skills: Your electrician should explain options clearly and help you make informed decisions.
Problem-Solving Ability: TI projects always present challenges. Experienced electricians find solutions that keep projects on track.
Licensing and Insurance: This should go without saying, but verify your electrician is properly licensed and carries adequate insurance for commercial work.
At Aztec Electric, we’ve handled commercial tenant improvements across every type of retail space imaginable. From food trucks getting permanent locations to national retailers opening Austin outposts, we understand the unique demands of commercial TI electrical work.
Common Mistakes to Avoid
Learning from others’ mistakes is cheaper than making your own. Here are pitfalls we see frequently:
Starting Too Late: Waiting until construction begins to think about electrical needs causes delays and limits options.
Underestimating Power Needs: “We’ll make do with what’s there” often becomes “we need expensive emergency upgrades.”
Ignoring Future Growth: Installing barely adequate electrical systems means costly upgrades when you want to expand.
Choosing Based on Price Alone: The cheapest electrician might not deliver commercial-quality work or might cut corners that cause future problems.
Poor Communication: Not clearly explaining your vision and needs to your electrician results in a space that doesn’t function as intended.
Neglecting Aesthetics: Exposed conduit and poorly placed outlets detract from your retail environment. Plan for clean, professional installations.
Your Timeline: What to Expect
Understanding the electrical TI timeline helps you plan your overall opening schedule.
Typical Electrical TI Timeline
Week 1-2: Initial consultation, site assessment, load analysis, preliminary planning
Week 3-4: Detailed design, specifications, permitting documents preparation
Week 5-7: Permit submittal and approval (can vary significantly by jurisdiction)
Week 8-10: Rough-in electrical work (during framing/pre-drywall phase)
Week 11-12: Rough-in inspection, addressing any issues
Week 13-15: Finish electrical work (fixtures, devices, final connections)
Week 16: Final inspection and approval
This timeline assumes a moderately sized retail space with no major complications. Larger or more complex projects take longer. Rush projects compress these timelines but often at premium cost.
Making Your Austin Retail Space Shine
Your retail space’s electrical system is invisible infrastructure that makes everything else possible. Proper planning creates a space where:
- Customers enjoy a well-lit, comfortable environment
- Your POS and technology systems run reliably
- Your team can work efficiently
- Your operating costs stay manageable
- You meet all code requirements without stress
The difference between a mediocre retail space and an exceptional one often comes down to the details—and electrical infrastructure is foundational to getting those details right.
Ready to Start Your Tenant Improvement Project?
Whether you’re opening your first retail location or expanding to a new Austin-area space, Aztec Electric brings three decades of commercial electrical experience to your project. We’ve helped hundreds of retailers, restaurateurs, and service businesses transform empty spaces into thriving commercial locations.
We serve Austin, Cedar Park, Round Rock, Pflugerville, Georgetown, Leander, Lakeway, Bee Cave, and surrounding communities. Our commercial services include:
- Electrical design and planning
- Load analysis and service upgrades
- Complete tenant improvement electrical work
- Permit handling and inspections
- Energy-efficient lighting solutions
- Ongoing maintenance and support
We offer free estimates and transparent pricing. More importantly, we offer the peace of mind that comes from working with a family-owned company that’s been part of the Austin business community for over 30 years.
Your retail space represents your dream and your investment. Let’s make sure the electrical infrastructure supports your success from day one.
Contact Aztec Electric today to discuss your commercial tenant improvement project. Because when it comes to your business, there’s no room for electrical shortcuts or surprises.
Aztec Electric has been serving Central Texas families and businesses since 1987. We understand commercial electrical challenges because we’ve solved them for hundreds of Austin-area businesses. Let us help make your retail space everything you envision.