10/26/2026
🚨 WHO’S RESPONSIBLE WHEN THE A/C GOES OUT? ❄️💰
In Arizona, HVAC isn’t just a luxury—it’s a necessity! And in commercial real estate, the language in your lease could mean the difference between a minor repair expense and a $25,000+ replacement bill.
Before signing a commercial lease, here are TWO important protections every tenant should consider negotiating:
🔹 HVAC WARRANTY: Request that the landlord warrant the HVAC system is in good working condition at lease commencement and negotiate a warranty period during which the landlord is responsible for covered repairs or failures. You shouldn’t inherit an expensive problem on day one!
🔹 HVAC REPAIR CAP: Negotiate a limit on how much you’re responsible for spending on HVAC repairs annually. For example, a $1,500 annual cap could protect your business from unexpected expenses, with the landlord responsible for covered costs exceeding that amount.
🔹 REPLACEMENT RESPONSIBILITY: Who pays when the entire unit needs replacing? Make sure your lease clearly defines whether the landlord or tenant is responsible for major capital replacements.
🔹 PREVENTATIVE MAINTENANCE: Understand your obligations for regular servicing, filter changes, and maintenance contracts. These requirements can impact warranty coverage and repair responsibilities.
💡 THE BOTTOM LINE: Just because a lease says the tenant is responsible for HVAC doesn’t mean those terms aren’t negotiable.
A well-negotiated HVAC clause can save your business thousands of dollars and prevent costly surprises down the road.
At OMNI CRE, we help tenants understand the fine print and negotiate lease terms that protect their businesses.
📩 Before you sign, let’s talk!
