Heat pump on the ground to heat/cool third floor, dumb idea?

[Tyler Speelman]

Hello,

I have a 3rd story occupied unit that needs a heat pump replaced. Current heat pump unbeknownst to me is leaning against a chimney and supported by 2x4s and on a peaked roof. HVAC contractor went to replace today with a lift and realized the roof was not flat and does not feel safe or comfortable removing old heat pump and installing new heat pump on the roof. He mentioned installing heat pump on the ground. Has anybody done this before? 

The 3rd floor (loft-like area) does not have a gas line or adequate space for furnace. Electric baseboard heat is an option that I would like to avoid because I'm in Ohio and worried resident's electric bill will be sky high d/t cold winters and poorly insulated attic/3rd floor unit. Current residents have complained about high electric bill d/t window air conditioners to cool unit during summer d/t broken heat pump. 

What would you do?