Reasons for replacement of the Chiller type central A/C system.

1.   System’s low efficiency in combination with current high energy costs make it unaffordable to operate.

2.   System is 40 years old and even when new was designed to function as a cooling system for an 80% occupied apartment complex.

3.  Because of the systems age and other factors it has become very expensive to maintain and repair.

4.   Over the years and especially after the towers were “roughed up” by Katrina and a few compressors failed the system has deteriorated to the point where only the first floor units cool well.   The upper floors because of roof heat require window units to be comfortable.

5.  Even when working the system was not 100% satisfactory because of its 2-pipe technology requiring that the entire system be either cooling or heating.    During mild months this meant that some wanted heat while others wanted cooling depending on the time of day and what floor you were on.    It took manual hands on work to change the unit over from heating to cooling resulting in about 12 hours to switch from heat to cool if personnel were even available to do it.

6.  Common element chiller piping has deteriorated causing leaks and flow restrictions.   Insulation in the walls have cracked and shrunk back to the point that condensate water is dripping down the walls and causing mold in many of the units.

7.  SBA recognizes that increased efficiencies of a new system will pay the loan payments resulting in a new system at little to no actual cost.