
If you own a Hotel, Motel, Apartment Building or Retirement home or other commercial property you can achieve a significant extra benefit from installing the Stanlin Energy System Not only can you achieve massive fuel cost savings which puts money right in your pocket, but you can also increase the value of your property for sale or financing purposes.
Here's how it works:
You know that the higher the net income from your building or operation, the more it is worth. So when your fuel costs go down it means that your net income will go up - meaning that the value of your building or operation also goes up.
Look at the example below:
Impact on Building Value of a $20,000 Fuel Saving
 |
Without System |
With System
20% Savings |
| Gross Income |
$1,000,000 |
$1,000,000 |
| Less: |
| Fuel costs |
$100,000 |
$80,000 |
| All other costs |
$400,000 |
$400,000 |
| Total Costs |
$500,000 |
$480,000 |
| Net Income |
$500,000 |
$520,000 |
| Assume 10% Capitalization Rate |
10% |
10% |
| Value of the Building |
$5,000,000 |
$5,200,000 |
| Increase in value |
|
$200,000 |
The bottom line is that a $20,000 reduction in fuel costs not gives you direct savings, but at a 10% capitalization rate it also makes your building worth $200,000 more if you are going to sell or refinance it. Not a bad side benefit is it for something that will easily pay for itself with fuel savings, is it?
If you have a portfolio of 20 buildings and they each go up in value by $200,000 because of the fuel savings, it's like getting a $4 million bonus in value.