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All Forum Posts by: Andy D.

Andy D. has started 3 posts and replied 5 times.

Post: Specific wording around marijuana in lease?

Andy D.Posted
  • Rental Property Investor
  • Worcester, MA
  • Posts 5
  • Votes 1

Hello, people smarter than me!

I noticed last time I renewed my tenants' leases (MA) that there's a new clause in the BP-provided form about cannabis usage, with some really draconian-sounding restrictions on it (text below). Is this over-the-top, or a response to recent legalization? Do y'all even try to enforce this? I have no moral or logistical problem with people smoking pot, especially if they're outside - I just told them no smoking indoors and left it at that. Thoughts? Thanks in advance!

Clause wording:

To the maximum extent permitted by law, Tenant shall not be permitted to, and shall not

permit any family, visiting friends, dependents, guests, licensees or invitees of Tenant to grow, produce,

possess, consume, use, smoke, or ingest any marijuana, cannabis or any products or ingestibles containing

marijuana or cannabis in any location in, on or about the Premises; the foregoing prohibition to be

absolute and without exception and shall include any growing, production, possession, use or

consumption pursuant to any medical use or medical prescription, or any medical, retail or recreational

marijuana activities that may otherwise be permitted under any local, state or federal laws, rules or

regulations now or hereafter in effect. Tenant’s violation of this Section shall be an immediate and

incurable Default of this Lease.

Post: Owner of 1/2 of a house

Andy D.Posted
  • Rental Property Investor
  • Worcester, MA
  • Posts 5
  • Votes 1

Is the house under your individual names or an LLC in which you're equal partners, and do you mean protection from outside parties or each other (or, ideally, both)?

Even if you haven't or don't plan to form an LLC, it's not a bad idea to notarize your contract/operating agreement to spell out "if this happens, we do this" for every conceivable potentiality regarding the property and each other - particularly with regards to if one of you wants to sell and the other doesn't, or if one of you ceases, even temporarily, being able to meet your obligations to the property for any reason at all.

Just a few of the things off the top of my head from one of my contracts:

Noting which parties contributed how much towards capital.

Establishing right of first refusal in the event of one party wishing to sell.

Where bank accounts, credit cards etc are held, and who can do what with them.

Cash flow protocol (all rental income goes into X account, $Y each money gets autotransferred to savings, $Z each month is put towards maintenance, etc).

Disbursements of surplus money in X account can only be made if certain conditions are met.

Explicit recognition that all bills may only have one party's name but are a shared responsibility between or across partners.

What items require unanimous consent to proceed from partners? Which items require 2/3? What demonstrates consent (a "yes" via email).

There are certainly more, but those are the ones that came to mind right away.

Post: MassSaver for rental properties?

Andy D.Posted
  • Rental Property Investor
  • Worcester, MA
  • Posts 5
  • Votes 1

@Jacob Geller, thanks for that info!

Post: MassSaver for rental properties?

Andy D.Posted
  • Rental Property Investor
  • Worcester, MA
  • Posts 5
  • Votes 1

I'm a little bit confused about the process of going through the MassSave program in a multifamily rental property in which none of the utilities are actually in my name - I was told that setting it up with the electric account number for one of the tenants is the simplest solution, but I'd prefer not to have to go through them to get it all done. Has anyone gone through this process, and is there a simpler way to handle it?

Post: New combi boiler/water heater system recommendations?

Andy D.Posted
  • Rental Property Investor
  • Worcester, MA
  • Posts 5
  • Votes 1

I'm replacing the aging boiler and hot water heater systems in a MA multi-family rental property in the next few months, going through the MassSave discount program. Does anyone have any feedback regarding combination boiler/water heater units? I'd love to have side-by-side wall-mounted units to free up basement floor space, but this would be my first time with combination units and I assume they're not all created equal. Feedback welcome and appreciated!