Case Study

Maximizing Savings for a 6-Unit Apartment Building

A landlord managing a 6-unit apartment building faced skyrocketing heating fuel costs, totaling nearly $11,000 last year. To tackle these high expenses, the landlord considered three options:

Do Nothing: Continue absorbing the steep annual heating costs.
Retrofitting the Building: Install individual gas meters and furnaces for each apartment, costing approximately $10,000 per unit—a total investment of $60,000.
Implementing Landlord-Tools Heat Meter Pro: Utilize our Heat Meter Pro, which accommodates up to 8 units, requiring only one meter for the entire building. This option involves a one-time purchase of the Landlord-Tools Starter Kit for $799.35, This includes the Heat Meter Pro and first year's subscription. After the first year, the annual renewal is $599.40. This solution effectively avoids the hefty retrofit costs while shifting heating expenses directly to tenants.

Comparison of Options

Option	Upfront Investment	Annual Heating Cost to Landlord	Annual Costs (Including Subscription)	Break-Even Point
1) Do Nothing	$0.00	$11,000.00	$11,000	N/A
2) Retrofit Building	$60,000.00 For 6 Furnaces	$0.00	$0.00	~5.5 years to recover investment
3) Landlord-Tools Heat Metering	$199.95 for 1 Heat Meter	$0.00	$599.40	Immediate savings

Breakdown of Investment and Savings

Option 1: Do Nothing

Upfront Investment: $0
Annual Cost: $11,000 (heating expenses paid by landlord)
Total First-Year Cost: $11,000
Ongoing Issue: Continues to incur high heating costs annually.

Option 2: Retrofit Building

Total Upfront Investment: $60,000
Annual Cost: $0 (tenants pay for heating)
Total First-Year Cost: $60,000 (upfront investment)
Break-Even Point: Approximately 5.5 years to recoup the $60,000 investment.
Consideration: High initial cost and significant disruption during installation

Option 3: Install Landlord-Tools Heat Meter

Upfront Investment: $199.95 (one Heat Meter Pro for the building)
Annual Subscription Cost: $599.40 ($49.95/month × 12 months, paid annually)
Total First-Year Cost: $799.35 (upfront meter investment + first year’s subscription)
Annual Cost from Year 1 Onward: $599.40 (annual subscription)
Annual Savings Compared to Doing Nothing: $10,400.60 ($11,000 – $599.40)
Break-Even Point: Immediate savings from the first year.
Benefit: Minimal upfront cost and seamless integration without the need for renovations.

Note: The Landlord-Tools Heat Meter Pro accommodates up to 8 units with just one meter, and requires an annual subscription of $49.95 per month, billed annually. For year 0, the landlord purchases the hardware at $199.95 plus the annual subscription of $599.40. Starting from year 1, the landlord only pays the annual subscription of $599.40. This makes it an ideal and cost-effective solution for your 6-unit building.