"But the owners I've spoken with so far are looking at oil costsover a longer period of time than just this winter," he reports. "Iwas surprised--as a layman--to learn that they weren't locking in.Their thinking apparently is to float with the market, because overa five-year term they'll end up being okay. It's like playing thestock market."
According to published reports, quoting US Energy Departmentstatistics, oil heat prices threaten to jump anywhere from 25% tomore than 60%. "Owners seem to hope for the best, but they areprepared for the worst," Shanahan concludes.
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John Salustri
John Salustri has covered the commercial real estate industry for nearly 25 years. He was the founding editor of GlobeSt.com, and is a four-time recipient of the Excellence in Journalism award from the National Association of Real Estate Editors.
