Furnace in the bedroom -- big problem or no problem?

[Conrad Legé]

Hello BP, 

I am looking for some insight here. I have a small multi unit that I will be closing on in about two weeks. In one of the units I a plan on renting to tenants, there happens to be a forced-air furnace that is located in one of the bedrooms. This is something that both the inspector and my agent pointed out as a potential issue during the inspection. I understand that a gas burning appliance in a bedroom could be a potential safety hazard however from what I have read, this seems to be common thing in Chicago and I couldn't find anywhere that this is a direct code violation for the city.

My question is, is this something that I can get by with having a CO detector placed in the bedroom? Or is this a bigger problem that I need to rectify and should consider installing a 90 percent efficient heating unit or moving the furnace entirely to a proper space within the unit? Thoughts? 

I obviously want to create a safe living environment for my tenants but also I want to make cost-effective decisions at the same time. 

Thanks,