QB Issue Resolution:

Well no it is not your expense (major construction costs are not an expense they are an increase in asset)  if you do not pay it.  The landlord has made improvements to the property and since he paid it, that is his increase to the fixed asset account structure.

Resolution for Issue 'Tenant upfit allowance paid directly to contractor by landlord and not reimbursed to me' available: Yes (Solved).
Source: Intuit Community forum.

Tenant upfit allowance paid directly to contractor by landlord and not reimbursed to me: this issue or error code is a known issue in Quickbooks Online (QBO) and/or Quickbooks. Support for this issue is available either by self-service or paid support options. Experts are available to resolve your Quickbooks issue to ensure minimal downtime and continue running your business. First try to resolve the issue yourself by looking for a resolution described below. If it is a complex issue or you are unable to solve the issue, you may contact us by clicking here or by using other support options.

Support for construction costs
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Error Recovery for construction costs [Canada]
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