I have an interesting scenario for someone who's in commercial real estate.
A small company is renting a space for about $30,000/month. The 2 restrooms have automatic faucets and many of the employees are frustrated with them. These faucets don't always turn on or the faucets turn on when you don't want them to; the water temperature is either too hot or too cold; and the water always comes on full blast. The restrooms in all of the building's units are designed to be exactly the same. The landlord feels that they should not be changed but if they were to be changed, it would cost $400 for the faucets (commercial grade) + labor to drill new holes and switch water lines for a total of $1500. The landlord thinks the tenant should pay but the tenant thinks the $30k in rent should cover this cost.
What are your thoughts?
Depends on what kind of lease was executed.
Was the lease prepared by a commercial real estate attorney for the owner and tenant or was a vague contract signed??
I would assume for 30,000 a month in rent an attorney was used but you never know.
You have NNN leases, gross leases, and on and on so this is very important.
Is the sensor not working properly in the faucets?? It sounds like it could be that. What has the plumber said about this and what is causing the issue??
Thanks for your response Joel.
The plumber suggested getting a different automatic faucet that has a little lever on the side to change the water temperature but he didn't say anything about the sensor.
I don't have specifics on the lease. I can look into it.
Free eBook from BiggerPockets!
Join BiggerPockets and get The Ultimate Beginner's Guide to Real Estate Investing for FREE - read by more than 100,000 people - AND get exclusive real estate investing tips, tricks and techniques delivered straight to your inbox twice weekly!
- Actionable advice for getting started,
- Discover the 10 Most Lucrative Real Estate Niches,
- Learn how to get started with or without money,
- Explore Real-Life Strategies for Building Wealth,
- And a LOT more.
Sign up below to download the eBook for FREE today!
We hate spam just as much as you
Join the Largest Real Estate Investing Community
Basic membership is free, forever.