In commercial real estate, should the landlord or tenant pay for this...?

[Tamara Taylor]

I have an interesting scenario for someone who's in commercial real estate.

A small company is renting a space for about $30,000/month. The 2 restrooms have automatic faucets and many of the employees are frustrated with them. These faucets don't always turn on or the faucets turn on when you don't want them to; the water temperature is either too hot or too cold; and the water always comes on full blast. The restrooms in all of the building's units are designed to be exactly the same. The landlord feels that they should not be changed but if they were to be changed, it would cost $400 for the faucets (commercial grade) + labor to drill new holes and switch water lines for a total of $1500. The landlord thinks the tenant should pay but the tenant thinks the $30k in rent should cover this cost.

What are your thoughts?

Thanks!

Tamara

[Joel Owens]

Depends on what kind of lease was executed.

Was the lease prepared by a commercial real estate attorney for the owner and tenant or was a vague contract signed??

I would assume for 30,000 a month in rent an attorney was used but you never know.

You have NNN leases, gross leases, and on and on so this is very important.

Is the sensor not working properly in the faucets?? It sounds like it could be that. What has the plumber said about this and what is causing the issue??

[Tamara Taylor]

Thanks for your response Joel. 

The plumber suggested getting a different automatic faucet that has a little lever on the side to change the water temperature but he didn't say anything about the sensor.

I don't have specifics on the lease. I can look into it.