Renovating and Tenants

Hello All, I have a question for you. I have 1 commerical tenant and 2 residential tenants. I am doing a major renovation this spring. We are adding a rooftop addition and renovating our apartment, which is on the top floor of our building. My question is: Should we, or do we need too have our tenants pay less rent during construction? It will be an inconvience to them for sure, should we compensate them? Thank you

esther

in Brownstoner 13 years and 2 months ago

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BHS | 13 years and 2 months ago

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Assuming that your reno and permits are all above board, I would talk to the tenants but let them ask for the reduction. However, I would give them some parameters for the renovation that might put them at ease, such as work will only happen from 8AM-5PM, the common hallway will be cleaned frequently and protected from construction dust, the GC is licensed and insured, utilities will not be interrupted, etc. These things should ease some of their concerns although it will be a big inconvenience regardless. But mentioning these things (assuming they are true) will help set the tone that you are concerned about their health and comfort and not simply exercising your right to renovate.

ylt3 | 13 years and 2 months ago

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As a tenant, your post raises some interesting questions for me…  We’re undergoing something similar now, as our landlord is gutting the basement and first floor of the building we live in (we’re on the second floor, and there’s another tenant on the third).  He had mentioned, in passing, that they were going to be doing work down there, but didn’t mention the extent, and the permits on file on the DOB’s website do not reflect the work they are actually doing.

We have seriously considered calling 311 to report the situation, but have been holding our breath.  The extent of what they are doing is pretty terrifying (not to mention the noise, and the cement dust covering the stairs and the hallway) but we keep hoping that they’ve turned the corner and are on their way to shoring things up.  It is also seems very likely — given the unpermited excavation in the basement and the structural work on the first floor — that the city would give a vacate order, rather than a stop-work order, and we don’t want to throw ourselves out on the street by reporting it.

We’ve been there for three years, are now month-to-month, and he has never raised our rent.  This morning, as I dropped off the rent check, I wondered: how much is that really worth?  We could certainly ask for a reduction in rent during the construction period, but — once they’re done — it seems likely that we would then get a new lease with an increase.

armchairwarrior | 13 years and 2 months ago

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I gave my tenants compensation without asking, well except for one, she came to me literally before i could sent out txt to let them know i’m giving them breaks on rent.

karhu | 13 years and 2 months ago

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If you are doing a major renovation for the apartments, can the tenants stay during the construction? Just curious.

owl | 13 years and 2 months ago

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you are a good person. Don’t feel guilty. Communication with the tenants about the project and take it from there. You have the right to improve your property

concernedcitizen | 13 years and 2 months ago

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If you need someone to do the work, we would be happy to take a look. Thanks info@methodrestoration.com

needmtg | 13 years and 2 months ago

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There’s also the ‘quiet enjoyment’ concept. If your renovation causes disruption and goes on for a while, your tenants have a right to be upset. Why not head it off by talking it over in detail, without including reminders as allans did, which are likely to raise hackles?

smithpitterson | 13 years and 2 months ago

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Ya..like allans said, dont go straight way and give them compensation. Though you should give them compensation, let them come to you for that..

allans | 13 years and 2 months ago

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I was in the same situation with 1 tenant on the top floor during a gut of 2 units below them – brownstone gut renovation.  I made sure I talked to them months in advance and was clear how the renovation would affect the building.  I also remined them that the lease they signed stipulated that I as owner had the right to do ANY renovations at my property and only needed to inform them, etc.   I did not offer a reduction on rent but I was open to it if they brought it up – all in all I wanted the renovation to go smoothly so I was prepared to do whatever procees to make sure everyone was well informed and content.