Tenant's friend to install electrical line/car charger

Tenant's friend to install electrical line/car charger

Member since 2020 · 4 posts · 0 votes

Hi, I have a trustworthy tenant who is interested in installing a car charger. The unit is in a large, multifamily complex with subterranean parking. The assigned parking spot is nearly 300 feet from the electrical room, so significant conduit/wiring will need to be installed in the garage's ceiling. 

The tenet's friend is an electrical contractor, who will install everything at no cost to the tenant. Seems too good to be true, but again, the tenant is trustworthy. Any ideas on how I can protect myself if something goes wrong? I have scheduled a site walk with the HOA President and contractor. I will require the contractor warranty the work for 1 year, and provide the same documentation that they would provide to a paying customer. Thank you!

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Property Manager · Indianapolis, IN · Member since 2016 · 16 posts · 16 votes
1y

John--highly recommend you do the following to protect your interests and your property:

1. Get the Certificate of Insurance for the electrical contractor in case there is an issue during installation and also thereafter.  Also get proof of paid invoice for your records, too.

2. Have the tenant sign a Lease Amendment indicating that the tenant is responsible for the cost of installation of the charger, any maint and repairs, and also removal cost (if desired later by you or the HOA). Also, the amendment should read that once the lease ends, the charger becomes a fixture of your property and thus yours.

It's always a plus when you can get your property valuation increased and the tenant pays for the new item, just so long as your downside risk is mitigated, too.

Good luck!

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  • Property Manager · Indianapolis, IN · Member since 2016 · 16 posts · 16 votes
    1y

    John--highly recommend you do the following to protect your interests and your property:

    1. Get the Certificate of Insurance for the electrical contractor in case there is an issue during installation and also thereafter.  Also get proof of paid invoice for your records, too.

    2. Have the tenant sign a Lease Amendment indicating that the tenant is responsible for the cost of installation of the charger, any maint and repairs, and also removal cost (if desired later by you or the HOA). Also, the amendment should read that once the lease ends, the charger becomes a fixture of your property and thus yours.

    It's always a plus when you can get your property valuation increased and the tenant pays for the new item, just so long as your downside risk is mitigated, too.

    Good luck!

  • Dennis McNeelyPro Member
    Investor · Gibraltar, MI · Member since 2017 · 108 posts · 103 votes
    1y

    ... and make sure the work is permitted and inspected.

    Just sayin'

  • Real Estate Agent · Los Angeles, CA · Member since 2018 · 2k+ posts · 1k+ votes
    1y

    Dennis is right, it 100% needs a permit. This is a big job and even if the tenant is trustworthy, the electrician may not be.

  • Nathan GesnerBusiness Member
    Moderator
    Real Estate Broker · Cody, WY · Member since 2010 · 28k+ posts · 41k+ votes
    1y
    Quote from @John Williams:

    I would only support this because it's California where electric cars are most likely to be mandated and used. Make sure it's permitted, warranted, approved by the HOA, and all that other jazz.

    I wonder how long it will be before the electrical grid collapses.

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