London

Why do repairs take so long? The complex economics of elevator maintenance

To explain the up and down economics of elevator repair, we spoke with Ray Eleid. He's a director with Solucore, an elevator consulting company hired by building owners to help them manage elevator maintenance contracts and purchases.

Complex maintenance deals and trouble getting parts can lead to delays, expert says

The elevator at 1 Andover Dr. will be out of service for up 16 weeks.
Management has told tenants that the elevator at 1 Andover Dr. will be out of service for up 16 weeks. (Andrew Lupton/CBC)

How can it be that it takes four months to fix an elevator? 

That was a huge question raised by residents of two south London apartment buildings yesterday, as CBC News interviewed them about elevator outages that have tenants with mobility issues feeling trapped in their apartments. 

Long delays in elevator repairs have been a problem in Ontario for years now. As cities like London strive to build "inward and upward" and Canada's population ages, there are more elevators coming online each day, along with older units that can be more prone to breakdown. 

To explain the up-and-down economics of elevator repair, we spoke with Ray Eleid. He's a director with Solucore, an elevator consulting company hired by building owners to help them manage elevator maintenance contracts and purchases. 

Eleid explained that Ontario law requires all buildings with an elevator or escalator to have a maintenance contract in place with a licensed elevator company.

But he said those contracts can be tricky to navigate for building owners, and repairs can be expensive when things go wrong. 

While not able to comment on the specific situation with the building at 1 Androver Dr. or 110 Highview Ave. E (his company wasn't involved in either building), Eleid said repairs and maintenance can overwhelm property owners and managers who don't have elevator expertise. 

An elevator awaits repair at an apartment building geared for seniors in London, Ont. Ontario laws require building owners to have elevator maintenance contracts but a consultant who spoke to CBC News said they often don’t cover everything that can go wrong.
An elevator awaits repair at an apartment building geared for seniors in London, Ont. Ontario laws require building owners to have elevator maintenance contracts but a consultant who spoke to CBC News said they often don’t cover everything that can go wrong. (Andrew Lupton/CBC)

Here are some of the problem's Eleid said can crop up: 

'Just in time' parts availability  Unlike an oil filter for your Toyota Camry, Eleid said most elevator parts aren't sitting on shelves at supplier warehouses waiting for a customer to call for them. Many of the parts are made to spec, which adds to the time in delivering them. He's seen motors fail on elevators only five years old they've had to wait three months for them to be shipped. "Every motor has to be manufactured to the specs and nobody carries spares," he said. Eleid said companies don't want to cover the cost of storing parts. 

Disputes over maintenance contracts Eleid's company writes maintenance contracts for clients because they're so complex, subtle changes in language can affect what's covered and what isn't. He likes to build into the contracts penalties with maintenance companies to cover situations when repairs are unduly delayed. "That's to incentivize the companies to report and order things ahead of time," he said .Sometimes the companies can get "creative" about what they cover and use complicated language, leaving baffled owners stuck between an expensive repair and tenants asking when they can stop climbing stairs.

Maintenance contracts that are too low Eleid said in some cases, buildings have longstanding relationships with maintenance companies at rates that are too low. "In Hamilton and London I've seen monthly rates at $150 an elevator, you can't even pay for the mechanic at $150," he said. "How are they doing this math? They're going to hit you with a bill as soon as something goes wrong." Eleid said he likes contracts that specify the amount of service hours a client will get. 

Sudden, unexpected costs Eleid said a major part replacement like a hydraulic cylinder can run $60,000. But other factors can complicate the repair. For example, the cylinder is generally located underground. Any issues with that location, like ground water getting in, and the cost goes up. Also, Eleid has seen situations where a maintainance company calls for a part to be replaced unnecessarily. "I can't count the number of times where we do our inspection ... and it turns out the cylinder is fine," he said.

Company responds to Andover Dr. elevator

Meanwhile, CBC News received a statement from Otis Elevator on Tuesday. It's an Otis elevator that's facing a long repair at 1 Andover Dr. 

Here's what they said:

"We understand the inconvenience experienced by residents of the Andover Gardens Seniors Apartments. While we have worked diligently to source the necessary parts for repair, unfortunately, they are not readily available due to the age and nature of the equipment." 

ABOUT THE AUTHOR

Andrew Lupton is a reporter with CBC News in London, Ont., where he covers everything from courts to City Hall. He previously was with CBC Toronto. You can read his work online or listen to his stories on London Morning.