Anyone knowledgeable in Puerto Rico real estate law know if submetering or RUBS is allowed? I'm looking at an apartment complex that has ridiculous utility bills - each 1 bedroom / studio equivalent is on average generating a $100 light and $175 water bill; utilities are currently included in the ~$350 rent so that leaves very little income left after utilities.
The building is old (built in 1920); so I'm wondering if there could be some serious piping problems.
I know nothing of Puerto Rico. I did watch a documentary recently that said even before the big storm that government was facing bankruptcy and failure of the power grid systems so they had problems long before the storm came along. Here in the main states of U.S. I do not look at properties where landlord has to pay utilities. That is the biggest expenses to suck down cash flow.
A building in the 1920's can have lots of problems.
Sounds like this property is a real loser UNLESS it comes with a large piece of land where density could be increased. Int his way as Puerto Rico rebuilds a developer might come and buy you out or JV for their larger project to go in. If this building is kind of in the middle of nowhere there then sounds like options are very limited.
@Doug R. if they charge that much, you gotta figure out why the electrical utility is $9B in the red...
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