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Updated over 5 years ago,

User Stats

1,451
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461
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Sam Leon
  • Investor
  • Fort Lauderdale, FL
461
Votes |
1,451
Posts

Tenants want to switch apartments

Sam Leon
  • Investor
  • Fort Lauderdale, FL
Posted

I have a four unit building, apartments 1, 2, 3, 4.  Each apartment is different, some are two BRs, some are 1BRs, and they are all different in sizes, with slightly different layouts.  Making each unique.

Unit 3 is moving out at the end of a lease.  Unit 4 wants to move into unit 3.  Unit 2 wants to move into unit 3 as well, and Unit 1 wants to move into unit 2.  They all have their reasons, the other unit is bigger, more natural lights, its an end unit, closer to laundry, more storage etc etc etc...

I have done this in the past, allowing one unit to move into another, but it translated into more work because instead of having to turn over one unit for rent, I have to turn over two units.

Now, with unit 3 moving out, instead of turning over unit 3, if I let them all switch, I have to turn over ALL 4 UNITS!  That translates into more time, effort and cost.

I don't think I can selectively pick and say unit 1 can switch but unit 4 cannot.  That would create some negativity between me and unit 4, and some between the tenants themselves.  I would have to say yes or no to them all.

One option - is to do some calculations and figure out what it might cost me.  Then approach each tenant who wants to move with a new lease - because a new unit requires a new lease and a different (HIGHER) rent.  Some may elect to stay once they find out how much (although they know how much the existing tenant is paying).

Thoughts on how you would handle this?

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