Charge to mitigate the risk.

What is the risk and how can you mitigate it?

It's a risk mitigation strategy by the banks.

Every state I have ever looked at imposes on the landlord a duty to mitigate damages in other words rerent the property.

That doesn't make sense.If you think about it, the more you have to offer in the Partnership, the more you should be picky in choosing your Partner.When you bring a lot to the Table and demand every Partner have skin in the game and meet a high qualification, that should mitigate getting into a bad Partnership.Another way to think of this is to understand how large Corporation chooses their Board Members. 

In regards to water mitigation, you can install water efficient toilets and water efficient shower heads.

In this case, as long as we have home renovation insurance - does this mitigate the 'uninsurable' aspect you mentioned, @Tim Herman?

I have a source of funds to buy a building, but I am also trying to mitigate as much risk as possible and not put all my eggs in one basket if you know what I mean!

An INVESTOR hires tax persons to worry about MITIGATING our tax exposure, but at no point says "oh wow, I better STOP making money because I will have to pay more taxes if I make more".

Bank typically mitigate risk by asking lower LTV.