Mar 1, 2017

Cooperative Transfers to Family Members

Cooperative Building

Cooperative Directors and Managers: The New York Court of Appeals recently issued its decision in the case of Del Terzo v. 33 Fifth Avenue, which had been moving through the New York courts for four and a half years. The decision is significant because it establishes statewide limitations on the exercise of board discretion in many cooperatives insofar as reviewing the applications of family members to acquire apartments following the death of a lessee. At issue in Del Terzo was the application of a proprietary lease provision providing that after the death of the lessee “consent shall not be unreasonably… Read more

Feb 2, 2012

Streamlined Sale of Common Space to Shareholders

Open Elevator

On January 26, the New York State Attorney General’s Real Estate Finance Bureau announced new standards that will streamline the allocation of stock to, and the sale of, cooperative common areas, such as hallways, servants’ rooms and storage lockers, to existing shareholders.  Previously, the Attorney General had taken the position that such sales required the issuance of “no action letters” by its office in order to comply with New York State’s securities laws.  This position has now been abandoned.  In the future, cooperatives may allocate stock to common areas and sell the stock to existing shareholders without involving the Attorney… Read more