Written by Sheryl Nance-Nash on April 23, 2013
Leaks are not a minor issue in New York City. In 2010, field crews for the New York City Department of Environmental Protection responded to 4,403 total leak complaints citywide, nearly 80 percent of which were deemed to be private service lines. In response, the DEP and the private company American Water Resources (AWR) recently launched of the Water and Sewer Service Line Protection Program for smaller residential properties throughout the city.
Written by Ronda Kaysen on April 18, 2013
One piece of the insurance puzzle that hit many co-op and condominium boards hard in the aftermath of superstorm Sandy was business interruption coverage. Some residents balked at the idea of paying maintenance fees while their building was rendered uninhabitable. In some cases, insurance policies covered maintenance fees for the displaced residents. In other cases, the policies provided no such relief.
Written by Tom Soter on April 18, 2013
To try to avoid unethical behavior by co-op and condominium board members, attorney Steve Wagner, a partner at Porzio Bromberg & Newman, suggests the board create and make members aware of its code of conduct or code of ethics. This includes a series of ethical promises: no kickbacks, full disclosure of any connection with the vendors, no self-dealing, and so on.
Written by Frank Lovece on April 16, 2013
Condominium and co-op boards can require residents to carry homeowners insurance. In two earlier articles, we looked at reasons for that and at ways to help enforce that requirement. So exactly what type of homeowners insurance should they carry? There are different types, and a unit-owner or shareholder buying the wrong kind won't have all the coverage he or she might expect — and if a severe issue hits, then the board may well find itself drawn in to patch up problems and then sue to recover the damages. And that's never fun.
Written by Frank Lovece on March 22, 2013
Many co-op and condo boards require its shareholders or unit-owners to carry homeowner insurance. It makes for a smoother-running building by, for instance, not having to have the building pay for repairs when an uninsured resident damages a common area, and then having sue the resident to recoup the outlay. Or if a contractor hired by an uninsured resident hurts himself due to the resident's negligence, leading the contractor to sue the building. So, yeah, lots of scenarios you could think of make it good to have your homeowners be insured. But enforcing that requirement? Good luck. Fortunately, there are ways to help you do that.
Written by Ronda Kaysen on April 04, 2013
In February, a 105-unit condominium near Ocean Parkway in Brooklyn saw its insurance premium spike by 30 percent to $44,000. A 148-unit condo on the Upper East Side of Manhattan watched its bill jump 10 percent, to nearly $72,000. And a doorman co-op in Prospect Heights, Brooklyn, recently swallowed a 9 percent premium increase. Condos and co-ops across New York City are bracing for an expensive insurance market, as insurers raise rates for the first time in years.
No building seems immune. Even co-ops and condos that are fully insured and haven't filed claims are watching their rates jump by as much as 9 percent and their deductible limits rising. Other buildings are discovering that their carrier simply won't cover them anymore.
Written by Arthur Weinstein on March 28, 2013
In a previous article today, attorney Arthur Weinstein explained how some seemingly innocent co-op board admissions-interview questions could backfire into charges of discrimination. This doesn't mean boards are helpless to make inquiries involving smoking, loud music, expectations of amenities and other quality-of-life issues. Here are five ready-made questions Weinstein suggests to help admissions-committee members safely navigate the shoals of co-op community-building.
You're on your co-op board's admissions committee, asking questions of a prospective purchaser. But be warned: Admissions interview questions can be like sticks of dynamite, waiting to explode in your face. "There are New York State, New York City and federal laws against various types of discrimination that could be quite fatal for a co-op board of directors," explains attorney Arthur Weinstein. "There are 16 kinds of discrimination that the laws describe, and it is very easy for a board to get into a discussion with a prospective shareholder where the board will learn that the candidate falls within one of the protective categories and now the board could be accused of discrimination if the candidate is rejected."
Written by Patrick B. Niland on March 12, 2013
A reader writes: Our condominium is confronting several large repair projects. We are evenly divided between those who favor assessments to fund the individual projects as we do them and those who want to borrow enough money up front to pay for them all. Who's right?
This question concern the role of debt. Taking away our individual emotional and cultural concerns — some people abhor debt, others find ways to use it — the strictly financial approach compares the cost of the money being borrowed to the value or benefit derived from the loan.
Written by Patrick B. Niland on March 26, 2013
A reader writes: Our co-op's underlying mortgage is coming due this summer. Our treasurer says that we should pay it off instead of refinancing because "every apartment in the building will jump in value once we get rid of our mortgage." According to him, our reserve fund plus a "small" assessment would be enough to pay it off. Should we do it?
Co-op and condo board business broken down into bite-sized bits - 2 stories each week. Read now on all digital devices.