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Personally, I hang that sucker outside. Makes service so much easier. The stinky plumber that will come out to service the unit can just do it all by his lonesome self without you having to wait for him. Come through and do his thing. Save close space too. No vents to deal with. I don't know the layout of your house, but putting that thing in the attic is a mistake only because its hard to get to come time to service it.
to answer your question. It safe in the closet
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