Phoenix Versa-Hydro in Garage vs Mechanical Closet?

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pollymath

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I'm eyeing a Phoenix Versa-Hydro to replace my TWO hot water heaters in my mud-room mechanical closet. The goal? Be able to use that mechanical closet as a laundry closet, and my current laundry room as an office.

Other advantages of having the water heating setup out in the garage are ease of venting, noise reduction indoors, and better utilization of vertical space.

Despite being insulated, my garage is not in the conditioned space of the house. It gets cold enough in there that I can park my wife's car inside covered in snow and the next morning it'll still have snow on it.

Would creating a new insulated water heater closet (opposite a 2x6 exterior wall from the existing mechanical closet), with enough space for the Versa-Hydro's boilers, be enough to have it in the garage?
 
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