Transformers May Be Junk.

[Joe Cummings]

Property owner wants me to make an offer and get the property under contract before I can do an inspection of the electrical room. Just from looking around, and the size of the electrical room I'd say between the 3 transformers, there must be about 500KW in capacity.

The cutouts are pulled at the pole, and I know these transformers went under water. Owner is claiming that he had the power on since the electrical room went under.

Not to mention the building is from 1960 and if the transformers are that old, they could be an environmental liability.

How can I put a number on this place with such a huge unknown factor?

I'm thinking I have to figure them as a worst case scenario, and really low-ball my offer

[Joel Owens]

Yep probably low ball them. Tell the seller if you can't validate you must depreciate! lol

Sellers will say anything until it closes then they vanish like a magician........ : )