Is It Time to Replace the AC? Hamzeh Roumani, Board of Directors President July 27, 2014

Who Owns the AC?

You do. The Air Conditioning System is owned by the casita owner, not the Condo Corporation. It is therefore your responsibility to maintain it (by regularly replacing the air filter and ensuring that the condenser coil outside and the evaporator coil inside are clean) and repair it when needed. It is also your responsibility to replace it when it reaches the end of its useful life.

Is it Inside or Outside My Unit?

The air conditioning system is made up of two parts:

• The Condenser
• The Air Handler

The condenser is outside your unit (on the balcony in multi-story units and under the stairs in bungalows) whereas the air handler is inside (next to the hot water tank). The two units are connected by refrigerant / vapour pipes. Incidentally, the air handler is also responsible for heating through pipes that connect it to the hot water tank.

Should I Replace My AC?

...A new condenser and air handler cost anywhere between $7,000 and $10,000...

"To replace or not to replace" is a difficult question and the purpose of this blog is to provide context and background to help you make an informed decision. Here are some relevant facts:

• A well maintained AC system should last 7 to 10 years on average. Ours are almost 20 years old so I would not be surprised at all if mine suddenly died beyond repair one day (likely a hot, humid day ☺). Indeed, we are seeing more and more breakdowns in the condenser and pinholes (and leaks) in the air handler coils.
• Our system uses the R22 refrigerant which is now obsolete (it was phased out in 2010 for environmental reasons). It has therefore become difficult to find spare parts (such as top-ups or evaporator coils) for our systems when they need repair.
• Technology has advanced considerably since the early 90\'s when our systems were built. Modern systems have a SEER rating (an efficiency measure that affects your hydro bill) of 13 whereas ours is 8; a tonnage (a cooling capacity measure) of 2+ whereas ours is 1.5; and a CFM (an air flow measure) of 800 whereas ours is less than 600.
• You cannot just buy any unit you want! Since the condenser sits outside your unit, the Board needs to ensure that common elements conformity rules, as well as all applicable codes, are observed. Hence, unless the condenser is exactly like the existing one (i.e. single-side venting and the same dimensions), you will need the Board\'s approval.
• A new condenser and air handler cost anywhere between $7,000 and $10,000.

A Refreshing Alternative

...they are offering a rental agreement of $130 per month...

Reliance Home Comfort is one of the largest HVAC servicing companies in Ontario. They offered to provide us with new, through-wall condensers that are identical to ours in physical dimensions (so they fit in the same cavities) and new air handlers that can replace ours and connect to our hot water tanks. The proposed system uses the new R410 refrigerant and has a SEER of 13, a cooling capacity of 2 tons, and a CFM of 800. The offer includes removal of existing system, installation of the new system, and any needed replacement of connecting pipes.

Sounds good but how much, you ask. Here is the refreshing twist: they are offering a rental agreement of $130 per month. Moreover:

• Free rent in the first three months.
• Free yearly maintenance checks with cleaning and filter change.
• Priority 24/7 service with no charge parts and labour.
• No term contract (can cancel with no cancellation fee).
• Rental rate increase is limited to CPI (Consumer Price Index).
• A buyout option (with depreciating cost) will be available at some point after the rental starts.

I personally like this proposal because it gives us the same layout as our existing system (so we don\'t need to put condensers on lawns or build bigger enclosures in balconies) yet it is better than ours efficiency-wise and capacity-wise. And not having to shell out $10K in upfront capital costs and installation is certainly attractive. My understanding is Reliance is big outside the GTA (where Direct Energy is dominant) and they are now trying to penetrate the GTA market by working with developers and existing communities like ours. There is, however, one condition:

A minimum of 30 units are needed.
This is because the condensers are custom-built to fit our cavities and the manufacturer will not run a custom job for less than 30. If we can get 30 units to take this offer then we can get this going. I will arrange to have a notice sent to all residents to determine how many are interested. In the mean time, please use the forum to express your interest or to ask questions. Here is the link to the forum\'s thread.

Note: Views expressed in this blog do not necessarily reflect the official position of MTCC 1113. They were written by Hamzeh Roumani, the President of the Board, and reflect his personal take on things.