A right of first refusal in a real estate contract is a provision that gives a potentially interested party the right to buy a property before the seller negotiates other offers. A recent New York case looked at whether one party could structure a transaction in a way that essentially kept another party from exercising … Read more
Property owners often must make improvements to their properties in order to develop them, such as paving, leveling and changing the grade of their land. This process can change how surface waters flow across the property, and may unintentionally cause flooding as water may flow onto surrounding properties. This has historically been the subject of … Read more
Transactions involving real estate in New York generally must be in writing and in recordable form in order to be enforceable. New York, however, also recognizes the long-standing equitable principle which allows lenders, in certain circumstances, to claim a right to what is known as an “equitable mortgage.” The concept is that to the extent … Read more
A real estate purchase is often financed with funds borrowed from a lender. The process for being approved for a loan is sometimes lengthy. As a result, in order to expedite the transaction, parties generally negotiate and enter into a contract before the mortgage commitment has been issued. Although the contract typically takes into account … Read more
Airbnb’s popularity has exploded and many people living in places like New York City have seen the potential to earn income by leasing their apartment or house to tourists through Airbnb. New York State and New York City have responded in the last few years by enacting laws to prohibit or discourage these arrangements. In … Read more
If you are a homeowner aged 65 or older or have a parent or loved one who is a “senior,” there is a way for you to sell your home and utilize some of the equity while continuing to reside there. Reverse mortgages are an option and were quite popular for a time until the … Read more
The New York State Legislature recently enacted a law which requires members of cooperative or condominium boards to disclose any transactions in which they have an interest to all shareholders or unit owners. Both the New York Business Law (with new Section 727) and the New York Not-for-Profit Corporation Law (with new Section 519-a) now … Read more
Zoning law changes can have a significant impact on plans that owners may have for their property. If the zoning code is modified to prohibit a use that was previously permissible, the property may continue to be used in the same way if it is a prior non-conforming use. However, that may not help an … Read more
New York law provides that brokers have a duty of undivided loyalty in a real estate transaction and as such, they must disclose and get consent of the parties if they are working as a dual agent. A recent decision by the New York Appellate Division First Department demonstrates that courts take this rule seriously … Read more
Most cooperative corporations (“co-ops”) issue House Rules which are generally adopted by the Co-Op Board and must be followed in addition to those obligations set forth in the Proprietary Lease. Co-op owners (or shareholders) are generally provided with a copy of the newly adopted House Rules by the managing agent. Many owners don’t realize that … Read more