APC backup location

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That's a bad idea. The batteries in these things produce hydrogen when charging.

My battery backup is downstairs in the room below the stove for this very reason.
 
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At the very least, don't put it inside the fireplace with an insert. Put a plant or something in front of it if it detracts from the look of the room. Batteries are more dangerous than people realize, even if sealed / AGM.
 
My UPS can get warm while running. For this reason I also installed it in the basement below where the stove sits. That and it also provides backup power to our file server and DSL router.
 
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