Maintenance in "smaller" buildings
Started by rh53w
over 14 years ago
Posts: 9
Member since: Mar 2010
Discussion about
What is considered "too high" maintenance these days for a smallish building in an excellent location that provides services like doorman, elevators, storage, laundry, live in super? Smallish, like 9 stories and maybe 40-50 units? I know that as of 18 months or 2 years ago, people were talking about $1.50-$2.00 psf, but maintenance costs have done nothing but skyrocket since. And it's also hard to tell how much credence to give to the "smaller building" argument when we're not talking about a 5 floor walkup. I have looked at a place where maintenance is $2.50 psf. Again, top location, the services I mentioned, etc. Most comps I see in the neighborhood (full service buildings) are much bigger (150 units or so), and they tend to have lower maintenance. Thanks a lot...
Per square foot maintenance is always iffy, IMO, because I'm never sure if people are talking about "broker" square feet (25% too high) or tape measure square feet.
Buildings like the ones you described always seem to have the highest maintenance (the most services spread over the fewest number of units), and it does seem to negatively impact the sale price.
When we bought in 2010, maintenance of $2 per broker square foot was not uncommon in these types of buildings. In general, I'd say try to resist the temptation unless there's something about the apartment that you absolutely love and can't get elsewhere.....