Columbia, MO · Member since 2018 · 2 posts · 1 vote
I just found out while analyzing a multifamily (3 units) property in St. Louis that water billing for the entire building is condensed into one. My agent tells me that water is not metered in St. Louis (city) and is instead based on the number of toilets in a building. A few questions:
1. Is this common? I've never heard of this before.
2. Any investors in STL know if the city allows installation of separate water meters? Or are they strict about maintaining a common bill?
3. Would utilizing a Ratio Utility Billing System (RUBS) make sense in this scenario (assuming the city allows it)?
Residential Real Estate Broker · Saint Louis, MO · Member since 2014 · 1k+ posts · 567 votes
7y
1. Is this common? I've never heard of this before. Yes very common in residential units altho there trying to add meters in south city. You can call the city and see if they will for you. I have about 70 4fam under management. and we only have one with meters.
2. Any investors in STL know if the city allows installation of separate water meters? Or are they strict about maintaining a common bill? An easier way is just to take the bills and divide them up per units (like RUBS) and have a separate line on your lease that they have to pay for utilities that are billed back to them I would not lock in a price. Increase they go up you can bill back more NOTE you can not profit off utilities.
3. Would utilizing a Ratio Utility Billing System (RUBS) make sense in this scenario (assuming the city allows it)? Nope just bill it back
4. Make sure that your in line with like kind units. The reason almost no one bills it back is because other people are not doing it. Make sure you don't price yourself out of the market for 50-100 bucks.
Rental Property Investor · Saint Louis, MO · Member since 2017 · 397 posts · 469 votes
7y
@Michael Novak I own three small multfamily buildings in STL, and pay one water bill per building. I'm sure you could consider RUBS, but it would be different from what most landlords do, and therefore might be a downside for potential tenants. In St. Louis City, it's common for landlords to cover water/trash (which come on a single bill) and sewer. Tenants generally just pay gas and electric.
Residential Real Estate Broker · Saint Louis, MO · Member since 2014 · 1k+ posts · 567 votes
7y
1. Is this common? I've never heard of this before. Yes very common in residential units altho there trying to add meters in south city. You can call the city and see if they will for you. I have about 70 4fam under management. and we only have one with meters.
2. Any investors in STL know if the city allows installation of separate water meters? Or are they strict about maintaining a common bill? An easier way is just to take the bills and divide them up per units (like RUBS) and have a separate line on your lease that they have to pay for utilities that are billed back to them I would not lock in a price. Increase they go up you can bill back more NOTE you can not profit off utilities.
3. Would utilizing a Ratio Utility Billing System (RUBS) make sense in this scenario (assuming the city allows it)? Nope just bill it back
4. Make sure that your in line with like kind units. The reason almost no one bills it back is because other people are not doing it. Make sure you don't price yourself out of the market for 50-100 bucks.
Edwardsville, IL · Member since 2017 · 2 posts · 0 votes
6y
Peter - what is a good way to estimate the water, sewer trash for a duplex in the Tower Grove / Shaw / the Hill neighborhoods? Looking at a duplex that has 5 total bedrooms and 2 baths.