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Updated about 8 years ago on . Most recent reply

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Ryan Evans
  • Rental Property Investor
  • Cleveland, OH
768
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Free garage space rent in exchange for maintenance?

Ryan Evans
  • Rental Property Investor
  • Cleveland, OH
Posted

I've got a property with an unused detached garage and a next door neighbor looking for storage space. He's offered free monthly lawn maintenance in exchange for using the garage to store his Salvation Army donations, tools, etc. 

Seeing as I'm going to be running it from out of state and probably under property management, it makes sense to me to utilize the space and not pay lawn care fees. 

I'd love to get some thoughts on the best way to formalize an agreement like that. Should I do a month to month storage unit lease agreement laying out the ground rules like not disturbing the tenants and using it as a workshop? Then a second agreement for property maintenance? 

Is there a way to make a legal arrangement for something like that? I want to make sure it's on the up and up to not run into legal issues or if he's not holding up his end of the bargain i can kick him out. I want to make sure I don't have insurance issues as well since he's not licensed. Would love to get some opinions! 

Most Popular Reply

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Max T.
  • Investor
  • Philadelphia, PA
3,342
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3,930
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Max T.
  • Investor
  • Philadelphia, PA
Replied

Yes use a contract.

Charge him rent for the garage. 

And pay him for the maintenance. Keep it businesslike.

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