Look online for gas line service flows.
Look at TablesEssentially you can look at the length from the meter to your water heater. Figure out the cubic feet per minute/hour and then what line size you need.
For 120k BTU, you have 109 cubic feet per hour. Look at page 4 of my link. That gives you a total of 90 feet from the meter to your unit with a 3/4" line. If you have a 1" line, you can go almost 300 feet before you run out of "oomph" to get the gas to the unit.
Also, keep in mind the unit will pull the maximum heat rate based upon the design conditions (coldest water going to hottest water). If you live where the water is mostly warm on "cold" days and/or you only output 110 F, your duty will be less.
Another thought to keep in mind is when you heat water, you form solids if your water is hard. In my old house, we had a tankless; loved the system. But it would clog the aerators/filters at the faucets depending on the use (kitchen and master shower about once every three weeks). I had to install a whole house hot water filter (got on Amazon, installed myself and I think I made a thread about it here) to keep the trash from clogging things. Normally, your tank water heater catches all the solids that form (essentially rocks). Your tankless has no where for it to go except out.
The hot water filter was good. I didn't have to actually 'change' the filter, just open it up and dump the rocks out and wash off the filter. Did this about once every 6 months.
~egon