Mixed-Use Property Rate Determination - Retail/Warehouse Combo

Started by Jan K. — 1 year ago — 2 views
Jan K. from Spokane. Need some guidance on mixed-use rate classification. Client has a 45,000 sq ft building - 8,000 sq ft retail showroom in front, 37,000 sq ft warehouse/distribution center in back. Single meter, 290kW peak demand. Avista has them on Schedule 25 general service but I think they might qualify for industrial Schedule 31 based on the warehouse operations. Load profile shows high baseload from warehouse lighting and HVAC plus demand spikes from loading dock equipment. What's the typical approach for mixed-use properties where one component dominates the square footage?
Larry N. also in Spokane. Dealt with Avista on similar situation last year. They generally look at primary use by both square footage and load characteristics. 82% warehouse space should work in your favor, especially if you can show the warehouse operations drive most of the electrical demand. The loading dock equipment and distribution activities support industrial classification. Get detailed load breakdowns showing warehouse vs retail electrical usage if possible.
Larry, good to connect with someone local! The retail portion is mostly LED lighting and some display cases - probably only 15-20% of total load. Warehouse has overhead doors, conveyor systems, forklifts charging, plus all the HVAC for the big space. Should be pretty clear that warehouse operations dominate. Did Avista require any specific documentation for your mixed-use case?
Jan, they wanted a floor plan showing space allocation, equipment inventory with loads, and a business description explaining primary operations. The fact that it's distribution/warehousing rather than just storage helped. If it's part of a supply chain operation that would strengthen the industrial argument. Avista approved the reclassification but took about 6 weeks to process.