The Savvy Israeli Tenant

I received a call last week from one of our tenants who had received a visit from a gas company technician. He came to carry out an official annual check of all the gas appliances and pipes in the apartment. He told her that the gas outlet located inside the property was in a dangerous place, behind the stove, where it would be impossible to reach and disconnect in an emergency. He told her that it would cost money to move the outlet to a safer location, but it was a legal requirement to do so.

The tenant realized that such an expense should be met by the owner of the property or the management company, and asked the gas company technician to write down an explanation of the problem and a price quote that she could send to Creative Estates, the management company that takes care of her apartment. Suddenly the technician decided that it wasn’t so important after all and left the apartment.

Quick thinking by this savvy tenant clearly saved her and the property owner and management company from getting suckered by an opportunistic workman, who was trying to make money by carrying out unnecessary work!

The Stubborn Israeli Tenant

Sometimes a tenant is so happy in his apartment that he refuses to leave at the end of the tenancy. In one unusual case, our tenant had invested 40,000 NIS of his own money in various unauthorized improvements to the apartment, and refused to leave until he was fully reimbursed. Creative Estates took him to court and sued him for vacancy.

The Judge awarded a compromise settlement of 20,000 NIS and required the tenant to leave the property within 30 days. We asked the Judge to add a condition that the apartment must be left clean and habitable, or he would not receive the money. After 30 days the tenant left and we entered the empty apartment to find it smashed up and impossible to rent. We were not liable for the money, but Creative Estates had to renovate the apartment completely before it could be rented again. (This cost us less than the money that we would have had to pay the tenant had he left the apartment in a reasonable state!)

Generally we have very good relationships with the tenants in the properties that we manage, and we usually agree to pay 50% of the cost of reasonable modifications requested by long-term tenants, since they generally increase the value of the property, but they must speak to us before spending their money on improvements!

Tenancy disputes arise very rarely, but at Creative Estates we have the legal background and experience to be able to come up with creative legal solutions when required!

Fix a Pipe, or Fix Up the Apartment!

Creative Estates was asked to take over the management of an apartment that had been vacated by its elderly tenant because it was uninhabitable. The lawyer who previously managed the apartment was not aware that a pipe had burst, causing mold to spread through all the walls.

We sent in our contractors to remove and rebuild the infected walls, replace the pipes, replace the rotten kitchen, and fit new flooring. It cost 40,000 NIS to restore the property to a livable condition, in addition to the lost rent while the work was completed. Because the previous manager had not insisted on arranging insurance for the property, the owner had to pay out. Fixing the burst pipe when it happened would have cost just a few thousand shekels, or just the excess on the insurance policy.

At Creative Estates, we always insist on insuring every property that we manage. We generally arrange the insurance policies for all our properties, negotiating a competitive bulk rate and saving our clients money. We also take care of burst pipes when they happen, which saves our clients even more money.