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Updated almost 4 years ago,
Do these expenses look complete?
This is regarding a small, 4,000 sq. ft. office building in the MD suburbs of DC. The building will get rents for $18/sq ft. The rentable space is 3,200 sq. ft. So 57,600 not including vacancy allowance. The building was built in 1975 and was 100% leased in 2020 to present.
The owner is a retired, older gentleman who hasn't given me any source documents to back up his expenses and I don't know if he will. He says the annual expenses are:
Trash container $4,575
Lawn Services including winter services $2,580
Cleaning Service (common space only, no suits) $2,400
Insurance $2,488
County tax $6,410
Alarm $635
Water $1,100
Fire Extinguishers $57
I verified the above amounts are in the ballpark through other sources. Not including reserves and CAPEX, do these expenses look complete?
Thanks