Leaky Roof Dont Know what to do
Hey Guys,
Right now, I am in the middle of negotiating on purchasing a veterinary hospital. The owner is asking for $xx for the practice and $450,000 for the real estate. The practice end is ok. It was appraised at that amount and my independent appraisal also checks out. On the real estate side, we are still waiting for the appraisal to be done.
Here is the situation. The owner (my boss) had done $150,000 worth of renovations about 2 months ago. On a 3600 sq ft hospital. The tiles were all redone with new paint, raising ceiling, granite countertops for the reception area, and then the roof....
This is a 40 year old building with a flat roof. This had been leaking for some time. The first guy does a pretty bad job of fixing it, then disappears (the guy was listed in HomeAdvisors). $10,000
The second guy comes and puts a silicone like film (sorry, I probably got it wrong) on the roof, and comes back every now and then to touch up on it. $10,000
I have an inspection done and the guy tells me the entire roof needs to be done. I should get the report sometime next week. I am having another guy come out and check the roof out.
My boss had been at this hospital for 40 years and he had built it from ground up. This is his baby. I want to be fair, but don’t want to get ripped off either. What do most people do in this situation? Have the owner fix the roof? Reduce the price of the real estate? What does this mean in getting insurance? Any advice will help?