Author Topic: HVAC Advice Addendum...  (Read 639 times)

280plus

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HVAC Advice Addendum...
« on: November 14, 2006, 02:32:18 AM »
If you're goig to lease a building or commercial space make sure in your lease you are responsible for only maintenance and minor repairs up to a set $ limit. If you do not you could find yourself in deep for things like replacing the whole system. Then the system stays there if you leave. Convenient for the owner, don't you think? It's also a good idea to have those systems checked out by your own A/C guy prior to signing any lease. At least 1 year warrantee from the owner on the system(s) is not a bad idea either.
Avoid cliches like the plague!

Parker Dean

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Re: HVAC Advice Addendum...
« Reply #1 on: November 14, 2006, 05:41:42 AM »
Reminds me of the first shop where I worked. It was one of those franchise tune-up shops and the owner had bought the franchise from the area sub-franchisee. They had been friends for a while and the sub talked my boss into buying saying that it was a sure money maker. Of course my boss should've asked why the last guy went bankrupt, but didn't.

Anyway, he signed an 18yr (!) lease on a run-down old Marathon station that was outdated in the Sixties, let alone the early Nineties, based on his friends recommendation. Turned out the lease was whats called "triple net" where the lessee was solely responsible for maintenance/repair, property taxes, and something else that I forget. This was on top of the franchise fees that took 10%, paid weekly, right off the top. Oh yeah, he also got stuck with the cost of removal of the old gas tanks back when that was the end-of-the-world issue.

Suprisingly they made a go of it for about ten years but finally couldn't take it anymore and declared bankruptcy.

280plus

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Re: HVAC Advice Addendum...
« Reply #2 on: November 14, 2006, 10:33:50 AM »
Yup, there's a lot of slickster property owners out there just aching to take advantage of the less informed.
Avoid cliches like the plague!