What to pay tenants for temporary fumigation displacement

[Josh Prince]

I will be fumigating one of my buildings both for termites (not fumigated when purchased) to satisfy a lender on a refi, and also for bedbugs (only in a couple units but I figure this will kill two birds with one stone). I already have my company selected, I am aware of the additional procedures to fumigate for bedbugs, but I have one question for the learned scholars of BP:

What should I be paying my tenants who will be displaced for approximately 3 days while the building is tented?

I have a mix of studios, 1BRs and 2BRs with most tenants paying market rent, but one unit is way undermarket (about 25% of market). This is due to Los Angeles city rent control.

The cheapest way is for me to just reduce their rent for that month or pay them a pro-rated rental amount - e.g., if someone pays $1500 per month rent, give them three days worth of rent, which is $150. The person only paying $600 per month would only get paid $60.

The other way is I thought, to see what the local motel charges for a night. In this case, the closest safe motel is about $60 per night, so for three nights, that's $180 per person.

Do I have an obligation to put them up in similar accommodations - like does a renter of a 2BR get a suite rather than a motel room? Should i pay everyone the same? Differentiate according to unit size or family size?

I cannot find any local laws or regulation on this subject, and I am sympathetic to the disruption this will cause to the tenants' lives - I wouldn't want to have to pack up and move out of my house for three days while it was filled with poison gas! I am not that sympathetic to the one guy who brought in the bedbugs, however!

Please let me know how you have dealt with this situation or if you otherwise have any advice!

Thank you in advance.

[Edward Burns]

I do not understand why you want to treat for bedbugs if there is no existing problem. Bedbugs treatment does not last long and they are carried in by pets and people. Any treatment for bedbugs is only effective if all clothing and bedding is also treated (usually by placing in a hot drier for a couple hours). If bedbugs are a problem and the clothing etc is not treated you will still have bedbugs. Also the treatment is not like that for termites where the chemical residue stays and is active for years. Check for information on the internet and carefully screen the exterminator.

As far as temporary living expenses, considering motel cost and extra food expenses I would figure $100/night.

[Josh Prince]

Edward Burns - there is an existing problem. One tenant brought them in - his unit is very disheveled. They have crawled up the wall into at least one other unit which was how I found out about it. The first tenant has a serious infestation. the second tenant is light. However, after investigating treatment, it seemed like heat and fumigation were the only two guaranteed kills, and the price to heat treat 2 units was close to the price to fumigate the building. Also, the place is due for a fumigation for termites and needs a termite fumigation for a refi loan. It was going to be fumigated at purchase but when i bought it all cash, we just skipped the fumigation to close the deal quickly. I figured I might as well have them up the amount of Vikane to kill the BBs too.

Thanks for the $100 per unit per night suggestion.. that sounds reasonable - that's probably what I would want myself.

[Edward Burns]

Sorry to hear that you have bedbug infestation and I do agree that treating at the same as for termites is the right thing to due. But make sure the two affected tenants realize that their clothing etc need to be treated by them and print out the procedures for them. You want the problem resolved and I hope they do too.

[Tom Goans]

Check your state laws or with an attorney in the area where the property is located. Some state laws address this type of issue.