Without adequate preparation, keeping your building in shape can become an expensive headache. But if a building is properly pointed, with solid coping, good flashing and a reasonably flawless roof, waterproofing compounds and sealants are unnecessary. The best method to keep your property in shape is regular examination. Here’s a general overview of what to […]
“Spoliation of Evidence”: Another Reason Not to Misbehave During a Lawsuit (NY)
In the ever-amusing annals of things co-op and condo boards shouldn’t do, one of them is breaking into an apartment during a legal dispute. This wouldn’t seem to be a point of which boards, or people in general, need reminding. But at the Park South co-op, at 200 Central Park South in Manhattan, that’s just […]
Borrower’s Burden: Can a Co-op/Condo Get a Loan with No Prepayment Penalty?
With very rare exception, all underlying mortgages have prepayment penalties. Many people think that this is unfair and that every borrower should be able to repay the loan whenever the borrower wants without penalty. From the borrower’s perspective, free prepayment makes perfect sense. Read more………
Avoiding Legal Blunders: A Crash Course Before You Crash
Much like corporations and charity organizations, condos, co-ops and HOA’s across the nation are helmed by groups of residents who volunteer to serve their communities, and who are elected to their post by their neighbors. Read more……..
Flood Plain Facts: How Federal Flood Insurance Can Save Your Co-op / Condo
If your board isn’t up on the two Fs — flooding and federal insurance — you may be inviting trouble. Here’s what you need to know, both in terms of having a flood-insurance policy and in how to collect enough from it to afford repairs and restoration. Read more……..
Business Judgment Rule: No Free Pass to Board Action
The past 12 months has been the year unit owners and shareholders have found cooperative and condominium board of director’s kryptonite at the appellate courts. For years, the courts of New York have been rubber stamping board decisions under the shield of the business judgment rule. Whether it be the persuasive facts in this year’s […]
What Do You Do When Your Condo or Co-op Is Mismanaged? Clean House
Three months after Sue Tel moved into the Carlton Tower condominium in Passaic, N.J, the first assessment hit — and hit hard. The 228-unit building had to replace its two mammoth boilers and fix a nest of problems originating during the tenures of two long-serving presidents and various entrenched boards. Read more……..
A Management Chief’s Plain Talk and Good Advice for Co-op / Condo Boards (NY)
Which qualities do responsible co-op and condo boards possess? What things can boards pursue that genuinely increase apartments’ market value? What are some of the specific challenges boards faces today, and where boards can find support and information? Read more……….
Long Island Co-ops and Condos Are Installing Flood Barriers. Should You?
Floodwaters are rising, and so are concerns about safety. While Governor Andrew Cuomo builds breakwater parks and otherwise sets aside land to protect New York City’s coastline, co-op and condo boards are taking their own steps to protect themselves. Read more………
What to Do When You Suspect Financial Fraud: From Step One to Forensic Audit
Despite taking every possible precaution and being on top of your building’s financial activity, there may still come a time when your condo or co-op board suspects fraud. Don’t panic. Here’s what you should do. “The first thing to do is to be in touch with your auditor and your attorney,” says Mindy Eisenberg Stark, […]
Can a Co-op Board Legally Institute a Smoking Ban? (NY)
Arthur Weinstein, an attorney in private practice who has successfully enacted smoking bans in New York, says that many co-ops already have restrictions in their proprietary leases against noxious odors and/or disturbing neighbors. That — combined with recent court cases that say second-hand smoke is a violation of the warranty of habitability — gives boards […]
A Condo Board (NY) Tries to Get Foreclosure Proceeds Ahead of the Bank. Can It?
When a sponsor is in arrears to both a lender and a condominium, can the condominium get some of the money it is owed before the lender does? Usually, you can’t — but the condo board at 455 Central Park West made some novel arguments that are worth knowing about. Read more……..
Assess for Capital Improvements? Borrow? Do Both with “Split Funding”
A reader writers: Since becoming a condominium, our building has needed a seemingly endless series of repairs, most of which have been funded with special assessments. Now we desperately need a new roof and major work on our elevator. The board is divided between another assessment and a loan. I recently read an article about […]
Not in My Yard: When Tensions Flare Over Front Yard Issues
Condos and HOA communities can be a great setting to own a home, enjoy privacy and the comforts of your own personal space. But, there will always be tension between the desire to make your unit your own, and adhering to the rules of the community for the greater good, which is usually peaceful coexistence […]
A Brooklyn Condo Board Fights a Sponsor’s Alleged Shoddy Construction
The condo board at 550 Grand Street in Williamsburg, Brooklyn, had a problem unrelated to hirsute hipsters, organic kale smoothies and double-wide strollers. It’s a common problem with new construction and even in renovated pre-war apartment buildings, such as this four-story, 1920 walkup converted circa 2009 from three units to six. Read more……….
Website raises legal questions about homeowners and tenants hosting travelers
Orsi says the problem is that lawmakers did not foresee the complications that arise in a shared economy model, nor did they anticipate the kinds of collaborative relationships being formed with companies like Airbnb. She believes that people should have the chance to earn money from sharing goods and services—even their homes. But these kinds […]
When Condo-Owners Try to Stiff Boards and Others by Transferring Ownership
May unit-owners transfer their condominium unit when to do so avoids foreclosure of that unit to pay a debt? Read more…….
A Queens Condo Finds Energy Savings in Preventive Maintenance
The condo board at Brook Haberman’s building is pretty savvy. At least, that’s what David Grumet thinks. Grumet is the director of operations at iAG Energy, a firm that performs energy audits, and he should know. He’s dealt with dozens of boards in the last year doing what he did for Haberman’s building: tracking down […]
Condo-Specific Responsibilities — Board and Owner’s — for Dealing with Bedbugs
In co-ops, as we all know, shareholders are technically lessees governed by proprietary leases. For that reason, residents are covered by the warranty of habitability, which requires owners of rental building, including co-op boards, to maintain the property in a habitable condition — and so it’s the co-op’s responsibility to deal with bedbugs. But condos? […]
The Business Judgment Rule Won’t Protect an “Unconscionable” Board
May a board impose fines and other penalties when homeowners fail to cure a violation, even though the owners claim they are being prevented from doing so by another owner? That was the question in Tucciarone v. The Hamlet on Olde Oyster Bay Homeowners Association. Read more……..
Midtown Manhattan Condo Board Files Suit Over 8,000-Gallon Oil Spill
The Sheffield 57, a nearly 600-unit condominium at 322 West 57th Street in Manhattan, has sued its managing agent, an engineering firm and others following the accidental discharge of thousands of gallons of heating oil after what the condo board called “a series of missteps that created a ‘perfect storm’” causing $3 million in damages, […]
Co-op and Condo Boards Have Different Responsibilities Regarding Bedbugs
Getting bitten? Don’t be shy. It’s time to talk once again about bedbugs (also spelled “bed bugs”), those bloodsuckers from Hell that are present in many homeowners’ nightmares. Although complaints about the pests have diminished, New York City co-op and condo dwellers, among others, still deal with outbreaks. Eradication can be a huge expense, and […]
New Jersey and New York Condominium Associations Should Allow Mezuzahs
There have been numerous reports of condominiums making people take mezuzahs off their front door frames. These very small items are important for Jewish people and it is simply outrageous that an association would demand that this kind of object be removed. Or any similar religious ornament. Read more……..
Ask the Attorney: What Can We Do When Condo-Owners Are in Arrears?
Q. My condominium in Brooklyn has two unit-owners who don’t pay their monthly charges. One seems to be having financial problems, but we’re not sure about the other. Our property manager told us that we need to file a lien against the units, but I heard from somebody else that this could be very expensive […]
Seaview Ass’n of Fire Island, N.Y., Inc. v. Williams case brief
CASE SYNOPSIS Defendant property owners sought review of the judgment from the Appellate Division of the Supreme Court in the First Judicial Department (New York), which affirmed the judgment of the trial court in finding in favor of plaintiff homeowners association in their action to recover assessments for the years 1976 through 1984. Other defendant […]
Who Cleaned Out Our Bank Account? D.A. (NY) Launches Management Probe
Rumblings of malfeasance are circulating and sources confirm that a New York City District Attorney’s office is investigating a major property-management company. For co-op and condo boards, this is wakeup call that financial controls and vigilance should be the order of the day. Read more…….
The $100,000 Cleaning Bill: A Condo Board’s Long Fight with a Hoarder
How much is your cleaning bill? It’s probably not $100,000. Yet that’s the final figure after the condo board of The Alfred, a 219-unit building 161 W. 61st Street in Manhattan, added fines, unpaid common charges and interest after billing a hoarding couple for cleaning their dangerously unsanitary apartment — and getting a defiant response. […]
From Good to Great: Principles for Community Association Success
Every community has its own history, personality, attributes and challenges, but all associations share common characteristics and core principles. Good associations preserve the character of their communities, protect property values and meet the established expectations of homeowners. Great associations also cultivate a true sense of community, promote active homeowner involvement and create a culture of […]
Aging In Place: How Co-ops and Condos Can Address Their Aging Communities
When we think of the challenges of overseeing co-ops and condominium associations, we might think of late payments and aggressive pets. But another challenge has been waiting in the wings: the aging of America’s baby-boomer generation, many of whom are choosing to live out their golden years in their homes. There’s even a term for […]
Do You Have a Doctor’s Note? Getting a Dog Into a No-Pet Building
What does it take to get a dog into a no-pet building? The question is becoming a hot topic in New York City. Because depending on whom you ask, the answer is A) a legitimate disability or B) a dubious note from a doctor or therapist. Read more……
Should Co-op / Condo Boards Create a Five-Year Capital-Improvement Plan?
If you prepare for the worst, you’re better off in the long run. Except when you’re not. A few years ago, the American Institute of Certified Public Accountants (AICPA) suggested that every co-op and condo’s financial statement contain information about the remaining useful life of — and the replacement cost for — all the building’s […]
Watch Your Language: Carefully Drafting Contracts Protects Associations
The vast majority of both one-time projects and long-term service contracts involving vendors and service providers and their condominium or HOA clients go smoothly and either conclude or continue without incident. However, a small percentage of jobs do jump the tracks in one way or another, and when that happens, things can get complicated. Read […]
Coping With Arrears: When Residents Fall Behind
The foundation of any properly run condo association or co-op building rests on residents paying their monthly maintenance fees on time and in full, with no delays or delinquencies. However, in the wake of the recession, with many shareholders and owners still on shaky financial ground, some co-ops and condos are feeling the pinch of […]
You May Have Recourse When a Court Denies Your Board Attorneys’ Fees
Collections have become an area of increasing concern for condominium associations, as some unit owners struggle to pay their common charges on time and in full. As unit owners’ debt continues to rise, associations are left with few options to collect: a lien on the unit and a lawsuit against the individual unit owner. Read […]
Should Co-op Boards Prohibit Shareholders Having Guns? The Issues
After the recent mass-murder shootings at Sandy Hook and elsewhere, co-op boards have begun in earnest to consider gun control. Part 1 of this story established that boards may ask about gun ownership during an admissions interview and may prohibit gun-owners from becoming shareholders: The Second Amendment only applies to the government, not privately held […]
So You’ve Been Sued — Now What? Handling Lawsuits
Lawsuits are usually not an association’s go-to method for dispute resolution. Expensive and time-consuming, they can quickly turn into a financial burden and may create strained relations in the community. Unfortunately, in some cases there’s no other way out. Last year a couple filed a suit against a neighbor, the association, individual board members, and […]
Can You Hear Me Now? Better Neighbors Through Soundproofing
When walls are the only separation between you and your neighbors, privacy sometimes goes out the window. People hear their next-door neighbors talking, footsteps from above or even music blaring through the walls. Sound transmission between units is one of the biggest complaints among condo dwellers. Noise can also come from ceilings, doors and windows, […]
Understanding CPA Service Levels: Compilation, Review and Audit. A Primer.
The controlling documents of most co-ops and condominium associations outline the requirement for the preparation of your financial statements. In addition, several states have minimum financial statement requirements. It’s important for boards to understand that there are different levels to what a Certified Public Accountant (CPA) reports. Here’s a primer for condo and co-op board […]
First-Person Narrative: Slimed and Slandered When Running for the Board
I’ve written about co-op and condo board matters for a dozen years. I served two years on a co-op board on the Upper West Side, and recently spent a year as board vice president at my current condo — which, for reasons that will be clear, I’m choosing not to identify and ask readers not […]
You HAVE a Privacy Policy — It’s Just Not Written Down. That’s Dangerous.
Sure, your doorman probably isn’t gossiping about the people you’re dating. And sure, that fellow co-op board member who wants you out isn’t looking through security-camera footage to prove you’re not cleaning up after your dog. And, surely, you as a parent aren’t going to ask your board or management to let you see electronic […]
Because the Board Says So
Generally, thanks to what’s known as the business judgment rule, boards have broad latitude in making, amending and rescinding house rules — the good, the bad and the decidedly wiggy. If board members think a situation needs to be addressed, they can address away without input from residents. Read More……