^^^ PEX is not PVC. Generally, for multistory buildings that are not 'hi-rise' i.e. the three story apartment building in question, dad says that codes can be met by using a thermally activated fire-stop at the point where the main 'loop' 2" PEX plumbing penetrates each floor.
If the code is particularly strict, the PEX tubing people have developed something called PEX-AL-PEX, which is a super-thin wall aluminum tube with PEX material bonded to the inside and outside (see
http://www.aqua-therm.com/pages/index.php?pID=23 ). Thus even in the event of a fire, the 'embedded' aluminum tubing will not lose its shape. So even if the local construction codes are super strict (which is extremely doubtful unless you're talking about a 7+ story 'hi-rise' building), they could be met by using PEX-AL-PEX only from the basement to each floor then using regular PEX tubing for all plumbing which stays on the same floor.
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