First Time Buyers

So, you’ve got a signed contract and have meticulously presented your personal and financial history to the co-op board in the form of your application. The next step can be incredibly nerve-wracking (though it doesn’t have to be) – the co-op board interview.

As expert NYC real estate agents, we’ve had countless clients go through the board interview process and have put together a few tips that can make the experience a bit easier. With these co-op board interview tips, you’ll be fully prepared to ace the co-op board interview and move into your new home in no time.

How to Pass Your Co-Op Board Interview

What is a co-op board interview?

The co-op board interview is the final step in obtaining approval from the co-op board to purchase an apartment in that building. 

Co-op board interviews are key to a successful closing on a cooperative apartment because the board wants to make sure you’re a good fit for the building. Their primary goal is to protect their building by assessing if you’re neighbor material or a bundle of red flags.

No two co-op board interviews are exactly alike. Some are formal conference room affairs and others are informal gatherings in one of the board member’s living rooms. Some provide the opportunity for the board to decide on your financial standing and personality, while others are scheduled to vet your personality following conditional approval of your financials.

For some sample co-op board interview questions, check out this article.

No matter the process or the setting, we’ve come up with a foolproof list of Do’s and Don’ts that will make your next co-op board interview a piece of cake.

During Your Co-op Board Interview, DO:

• Sanitize your social media presence – It’s almost a given that some (if not all) of the members of the co-op board will Google you before the board meeting. Which makes how you appear on social media and websites extremely important. 
  If you can, the easiest way to do so is to make your profiles private on every platform. If you can’t, manually review public posts, comments, and tagged photos or videos. Delete, privatize, edit, or untag yourself from anything offensive or polarizing on hot-button issues. 
• Dress for success – Regardless of how formal the interview is (or isn’t), you should present yourself carefully. Choose business casual attire. This dress code hits the sweet spot between looking like you care too much or like you don’t care enough. The board may not be in the same attire or be much more casually dressed than you are, but they’re already ‘in the club’. You still have to earn your spot.
• Do your research – Ask your broker for insight into the co-op board members. If they’ve transacted on an apartment in that building before, they may be able to provide you with useful information. Be very careful with this step, because it could be easy to be too familiar with the board and appear creepy.
• Plan out who will answer what questions – If you are purchasing the home with a partner or spouse, decide ahead of time who will speak on certain topics or answer certain questions. This will help you avoid talking over one another and ensure both of you get to speak an appropriate amount. Additionally, it reduces the amount of prep you each have to do!
• Be on time – This one seems simple but it is absolutely key. Co-op board members are people with busy lives and schedules just like you. They’ve taken the time out of their day to be there to speak with you – don’t waste a second of it.
• Stay present – While it may be exciting to be meeting some of your potential new neighbors, try not to get caught up in the excitement. This is still an interview, not a social call. Even if you are clicking really well with some of the board members, stay focused on the task at hand.  Keep your professional and polite demeanor up (at least until the interview is over and you close on your apartment).
• Be yourself – Co-op board interviews usually last 20-30 minutes, so they’re over before you know it. While we encourage you to keep your replies brief and on-topic, we also strongly encourage you to let your inner light shine! The co-op board wants to see who you are and what you’re about, so let them in a little. If you’re too nervous or closed off, it could impact the interview negatively.
• Thank the board – When the interview comes to an end, be sure to thank the co-op board members for their time. It’s the polite, professional, and considerate thing to do. Plus, it demonstrates courtesy and kindness- which are ideal neighborly qualities.

During Your Co-op Board Interview, DON’T:

• Come unprepared – While you don’t need to bring a copy of your application and financials to the interview, it is important to remind yourself of the contents of the package. It’s good to refresh your memory on the information contained in the personal and business reference letters you submitted, as the contents of these letters provide a more personal way to connect with you.
  Also, be prepared to talk about your money and your personal life. While it is usually taboo to get into these topics with complete strangers, in a co-op board interview, both lend valuable insight into the kind of neighbor you are. The board members don’t need to know your full life history, but answering their questions openly goes a long way.
• Be surprised if they ask for a pet interview – If you are bringing a furry friend into the apartment building, many co-op boards will require a pet interview. This is especially important if there are other animals on your floor, to ensure everyone in the building still has some peace and quiet. 
• Ask questions – Unlike a job interview, a co-op board interview is not an opportunity for you to determine if the building is a good fit for you. You’ve already done that, by making an offer and submitting an application to the board. This meeting is all about allowing them to get to know you and your partner or spouse, so it’s important to let them steer the conversation.
• Volunteer information – As a general rule, you want to answer the questions asked of you and nothing more. You’ve only got 20-30 minutes to make a good impression, so stay focused on what the co-op board members decide they need to know.
• Boast or sell yourself – Even if you are really proud of the massive commission you earned this year, don’t bring it up unprompted. If it does come up, perhaps in reference to your financials, stick to the facts of the situation. Being boastful isn’t a desirable trait to most people, so don’t exhibit it to the co-op board members if you can help it. 
• Talk too much – As we mentioned earlier, co-op board members are busy New Yorkers, just like you. Show them that you respect them and their time by answering their questions concisely and getting to your point quickly. You don’t want to accidentally talk yourself out of an acceptance.
• Mention renovation plans – Definitely don’t get into your renovation plans for the apartment unprompted. If a board member asks you point blank, it’s important to minimize or speak vaguely about your plans – even if you know you’re going to gut the home to the studs. Renovations are a hassle for your neighbors as well as yourself, after all.
• Expect an answer at the end of the interview – While in some cases you may get a verbal acceptance at the end of the interview, that is absolutely not the norm. They’ll let you know whether you were accepted or rejected in writing via the managing agent of the building, usually the following business day after the interview takes place.

Armed with these Do’s and Don’ts of co-op board interviews, you should be all set to gain acceptance and move into your new home! We hope you love it. And if you are interested in buying or selling property in NYC – we’re your team. Reach out here for more info or to get started!

The New York City real estate market is like no other in the world. There are tons of niche quirks and unusual types of purchases that can be daunting to those who aren’t familiar with NYC real estate terminology. One extremely common question we hear is this:

What is a land-lease building in New York City?

A land-lease building is a building that doesn’t own the land it sits on. Instead, the building rents the land from a separate landowner, who retains ownership of a parcel of land but leases the building constructed on it. Land-leases are typically around 100 years in length at their inception.  

Transacting on apartments in land-lease buildings comes with a few unique hurdles to jump through. For most buyers (especially if they aren’t working with a NYC real estate broker yet), it can be difficult to tell if a building is a land-lease or not, and even more difficult to track down who the landowner is. 

Read on to learn the pros and cons of owning an apartment in a land-lease building, what happens when the land-lease expires, and what you can expect from your lender should you make an offer on a land-lease home.

A Comprehensive Guide to Land-lease Buildings in New York City

What Exactly is a Land-lease Building?

While the definition above captures the gist of what a land-lease building is, there is a little more to it than that. For starters, land-leases are also sometimes referred to as ground leases. 

These buildings make up a tiny percentage of the apartment buildings in New York City – and most of them are sprinkled throughout the city with a few exceptions such as Battery Park City, which is entirely on a land-lease from the Port Authority and warrants a separate discussion altogether. 

They’re also usually set up as cooperatives rather than condominiums. If you happen to find a land-lease co-op, know that they typically do not have to pay property taxes because they rent the land vs. own it.

Because the land beneath it is leased by the building, a portion of the monthly maintenance fees owed in a land-lease building is the land rent that everyone in the building contributes towards. This makes the monthly fees higher in land-lease buildings. The asking price of such an apartment is usually significantly lower than market value to compensate.

So, if you see a co-op listed at roughly 20%-30% below market value with high monthly fees, there is a strong chance that it is a land-lease building.  

Perks of Land-lease Buildings

While land-leases definitely have some unique drawbacks compared to traditional co-ops and condos, there are also some perks.

• The biggest perk in a land-lease building is that a buyer will get more square footage for their dollar.
• Given that most land leases are legally structured as co-ops, a buyer also avoids two of the larger closing costs paid in condo transactions – title insurance and the mortgage recording tax.
• Although structured as co-ops, most land-lease buildings are governed by condominium type by-laws, allowing for more flexibility in ownership as well as the option to sublet the apartment immediately.

The flexibility of ownership and the significantly lower purchase price and closing costs may not seem like a good enough deal in comparison with the monthly maintenance fees – but for some, it could make sense financially.

Doing the math on a land-lease apartment, especially over the period of time you expect to own it, might surprise you. Savvy New Yorkers and their brokers know that sometimes the best deal out there is a land-lease – because most potential buyers won’t even consider it. That can make the sellers a little more flexible when it comes to negotiations.

When considering an offer on an apartment in a land-lease building, make note of how long is left in the lease. If there’s decades to go before it expires and you and your broker agree the math makes sense, it could be a great investment.

Drawbacks of Land-lease Buildings

Ultimately one of the most influential drawbacks of buying in a land-lease building is that you are still paying rent monthly, albeit just for the land instead of the apartment itself. That money you spend each month doesn’t go towards any capital improvements and there aren’t any tax deductions you can take to compensate for it.

The lower market value of apartments in land-lease buildings may be attractive when you’re a buyer, but when you become a seller it becomes more of a negative. As a seller of a land-lease, you have a smaller segment of New Yorkers who will actually consider the purchase, and they usually require a good amount of education along the way.

This combination can result in your apartment sitting on the market for a while, which can impact your bottom line. Additionally, if you will own the home as the land-lease gets closer to expiration you may be in for some serious complications, including having trouble finding a lender if you’re financing.

What Happens When a Land-lease Expires?

Most of the time a building and the landlord are able to negotiate a renewal of the land-lease decades before it expires. This is especially true in cases where local governments are the land-owners, such as in Battery Park City. 

The Battery Park City Authority manages the land-leases in Battery Park City, and they are a nonprofit organization with the express purpose of maintaining and improving the neighborhood. This community-driven instead of profit-driven approach makes them incredibly motivated to negotiate lease renewals.

However, in rare cases, usually involving private landowners, the land-lease renewal negotiations are not successful. If there is no lease renewal, then ownership of the land, building, and any improvements immediately revert back to the landowner.

Yes, you read that right.

The risk of this nightmare scenario exists with all landlords, but especially with private landowners. And because of this, in the event a renewal cannot be negotiated, the value of an apartment in a land-lease building gradually decreases to $0 by the end of the lease. 

In some cases, building owners have been able to buy the land from the landowner. Ultimately, this doesn’t lower costs for building residents. Effectively, all you do in that scenario is swap your monthly land rent for a mortgage OR fork over a lot of cash up front for the purchase. 

What Are the Different Types of Landlords of Land-lease Buildings?

What happens as the land-lease on a building draws to a close is greatly influenced by what type of landlord owns the land under it. There are three main types: government, non-profit, and private. We’ve ranked them in order of lowest risk (1) to highest risk (3).

1. Government – Battery Park City, as mentioned in the previous section, is a prime example of a government landlord. Because BPCA and others like it are a government entity, they do not have to pay property taxes. This means that the monthly land rent can be reinvested into the neighborhood instead of set aside to cover property taxes. 
2. Non-profit – The Roman Catholic Church and the Episcopalian church are some of the larger non-profits who invest in real estate and lease their land to building owners. Like a government entity, churches and some non-profit organizations also don’t pay taxes, so they too are usually more community driven. 
3. Private – These landowners are everyday people just like you and me – with their own motivations and goals. Private landowners are typically more profit driven and harder to negotiate with. The land under your building could be sold at the end of the lease without you ever knowing it, until the new landowner decides to hike land rent. Even if the land doesn’t change hands, the end of a land-lease often marks a significant increase in land rent for residents. 

How to Find Out if an Apartment is in a Land-lease Building?

A good real estate broker can help you find out if the apartment you have your eye on is in a land-lease building, and it is important to know the facts before any sort of offer is made or value decided on a property.

Another person you may want to call on before making significant moves towards purchasing a land-lease apartment is your real estate attorney.  A good real estate attorney can investigate and advise you from a legal standpoint and should be relied upon for the nitty gritty sort of information/terms of the lease.

It is important to note that not all land-leases are created equal, so if the general features we discussed make it appealing to explore, rely on experts in your corner to advise you on the ins and outs of the lease in any specific building.

If you’re trying to ascertain whether a building is a land-lease or not before you make an offer, remember what we discussed earlier: Co-ops that are 20-30% below market value with steep monthly maintenance fees are usually in land-lease buildings.

Getting a Mortgage for an Apartment in a Land-lease Building

The easiest way to purchase a land-lease apartment is to pay cash up front. You might be able to secure a loan for the apartment, though. Emphasis on might. It’s important to be aware that your application will face significantly more analysis than a mortgage on a non land-lease apartment.

The first and most important factor your lender will consider is how much time is left in the lease. It will be virtually impossible for you to get a mortgage on the apartment if the land-lease will expire before the 15 or 30 year loan is up. 

It is also much more challenging to build equity on land-lease purchases, because buildings depreciate in value over time while the land they are on appreciates. Lenders take this factor into account when reviewing the risk vs. reward when it comes to your application.

The Mysterious Land-lease Building, Deciphered

If you have further questions about land-leases or other nuances of New York City real estate, send us an email. Whether you become a client or not, we genuinely appreciate the opportunity to chat about the city we love and your place in it.

Whether you’re searching for a rental apartment or looking to buy the perfect home in Manhattan, you may have noticed a surprising trend (especially if you’re not a native or long-time NYC resident). Most New York City apartments don’t have central air!

Why is it so hard to find an apartment in New York with central air conditioning?

The lack of central air in most buildings in New York City comes down to when they were built. The NYC Department of Buildings reports roughly 75% of the residential buildings throughout the five boroughs were built before 1960. Central air didn’t become standard until the late 60s/early 70s. 

So, that charming pre-war you’ve got your heart set on may not have central air conditioning. If you’re renting, is it your landlord’s duty to provide a cooling solution? What did New Yorkers do to cool off before central air? What can you do now to keep your new apartment as comfortable as possible?

Beat the Heat This Summer Without Central Air

Coping With Heat Waves in the City

Most of the apartment buildings in New York City were built before central air conditioning became a standard amenity. But central air has been popular in the rest of the country for years now…so why are most apartments still reliant on other AC solutions?

The short answer: time and money.

Retrofitting older buildings with central air is expensive and extremely labor-intensive. Walls or floors must be broken down, ductwork installed, walls or floors must be refinished and repainted, and the air conditioners must be wired in and installed on the exterior or roof of the building.

Adam Dahill, the owner of boutique design and development company Dahill & Bunce, shared the costs of installing air conditioning in a CNBC article:

“Dahill is currently restoring a 3,900-square-foot Brooklyn brownstone. The total renovation cost is around $900,000. Of that, the air conditioning, a ducted split system, costs $65,000.”

In the same article, CNBC reporter Sophie Bearman gives the Plaza Hotel as an example. The iconic hotel underwent a massive renovation from 2005-2007, with the total cost of remodeling the building sitting at $450 million.

The installation of central air at the Plaza in 2005-2007 dollars? $25 million.

And that expense and time are what it costs IF you are even allowed to install central air conditioning in the first place. New York City buildings are notorious for their strict landmark and historic building regulations, so you may not even have the option to put in central air.

If you are dead-set on your apartment having traditional ducted AC, you’re probably going to want to look at new construction – it’s the only type of building in Manhattan that is more likely to have ducted AC than not.

But if you’re wanting to enjoy a beautiful pre-war or even mid-century apartment, what should you do every summer when outdoor temperatures rise?

AC Solutions for NYC Apartments That Aren’t Central Air

Though NYC landlords are legally required to provide heat for their tenants in the colder months, there are no similar requirements for AC in the warmer months. If you own your apartment instead of renting, you’re on your own as well.

Thankfully there are a number of less expensive and less complex air conditioning options available for New Yorkers to use in their homes, whether they’re renting or buying. 

1. Portable Unit
2. Ductless Mini-Split
3. Through-wall Unit
4. Window Unit

1. All About Portable AC

Portable AC units are standalone air conditioners, usually on wheels. They are commonly about the height of a mini-fridge with a freezer on top, and can usually be found at any big box home improvement store.

Typically, portable ACs use a window venting kit to expel any exhaust. The window venting kit resembles the exhaust of a clothing dryer, with accordion tubing. There may also be a drainage hose to run outside.

Many of these types of air conditioners have water reservoirs that are intended to help dehumidify the room they’re in. You do have to empty them occasionally unless they are one of the rare models which come with a drainage hose.

Portable ACs can be relatively inexpensive (compared to renovating) and easy to set up, which are two big perks. A significant drawback is that they can really only cool one room at a time. If you’re in a studio apartment with at least one window for exhaust ventilation, that won’t matter as much! But if you’ve got multiple rooms to cool it might be too much.

Portable AC units are also quite loud – depending on the model, of course.

2. Everything You Need to Know About Ductless Mini-Split AC Units

Ductless mini-split air conditioners have to be installed on or near exterior walls because there are indoor and outdoor components. The outdoor part houses a compressor or condenser, while the indoor part handles the air.

Between the two halves of the unit runs the conduit, which includes the power cable, refrigerant tubing, suction tubing, and a drain.

These air conditioners are usually wall-mounted, at or above head level.

Some models/systems can accommodate multiple indoor units attached to one outdoor unit. Each indoor unit has its own thermostat so those rooms can be cooled independently as needed. This and the lack of energy losses that come with ductwork makes these an extremely energy-efficient option.

Ductless mini-splits fall behind other options when it comes to the cost, unfortunately. The flexibility and energy efficiency come at a high price. If you’ve got the budget it may be worth the expense, but there are definitely more affordable options out there.

3. Through-wall Units Explained

If you’ve ever stayed at a hotel or motel with an air conditioning unit below the window on an exterior wall, you’ll be familiar with through-wall AC units.

While some through-wall ACs resemble window units to the layman’s eye, there are a few key differences. 

Through-wall ACs only vent exhaust through the back of the unit, not the sides. They are usually permanent fixtures as well, not something you put away in the wintertime. They can be much quieter than window units, as the wall absorbs some of the noise the air conditioner makes. 

These are more expensive than window units, considering the additional construction costs. Cutting through a wall to put in an AC is labor-intensive, and if you’re working with a historic building, you may not be able to install one at all. Through-walls are still much more affordable than ductless mini-splits. 

4. Window Unit Air Conditioners

If you’ve ever walked through the streets of NYC in the summertime you’ve likely spotted the favorite AC of many New Yorkers: the window unit. But why are they so popular?

Window units are seasonal appliances. You can easily install it when it gets warm in the spring and then take it down in the fall when the days begin to cool so your home isn’t drafty. And you get your view of the city back when you do so.

The modern window air conditioner is a powerful and energy-efficient workhorse. Most come with a frame that helps sit the unit squarely in your window. Add a support bracket on the exterior of your building to prevent any accidents, and you’re good to go.

They typically vent exhaust out of the sides and back of the unit, unlike the through-wall which only vents out the back. They can usually dehumidify your apartment while they cool it too, which is great for the muggy, humid summer months New York experiences.

Most window ACs manufactured today also operate on standard 120-volt outlets, which isn’t always the case for older models. Unfortunately, you’ll likely have to get one per room, and they are quite noisy.

Installing a Window AC to Code and Safety Regulations 

In New York City, you do not need a permit to install a window AC, but the city has installation guidelines on their 311 website. We recommend that you follow them, in order to ensure that your unit is installed securely and isn’t at risk of falling onto a pedestrian or car below. You could be held liable for damages or medical bills if that were to occur.

Before you get started on the installation, there are three things you should check out. Make sure there is a three-prong 120-volt outlet (a normal outlet) near the window. If you don’t have one near any of your windows and have to use an extension cord, purchase one that is rated for air conditioner use.

The next thing to be aware of is that your air conditioner cannot block an emergency exit window that accesses a fire escape. This is a violation of fire code and could result in you being fined, or worse. Make sure that the window you choose isn’t an exit.

The third action item is to install a bracket that can hold the weight of the air conditioner on the outside of your window. This is crucial to ensure the stability of your unit and prevent any falls from occurring. 

The Cooldown

While you can install central air conditioning if you have an excess of time and money, most New Yorkers opt to cool their apartments with less permanent solutions like window AC units. 

Whether you choose a portable AC, ductless mini-split AC, a through-wall unit, or a window unit, follow the installation guidelines issued by the manufacturer. Don’t forget to check for safety guidelines with NYC 311 as well.

And if you’re looking for an apartment with a particular cooling solution, feel free to reach out. Our team would love to help you find an apartment that helps you balance staying comfortable in the summertime with all of your other wishes and needs.

In-unit washers and dryers aren’t standard amenities in NYC apartments. While you can expect to find at least a stackable unit in most luxury-priced apartments, those in lower price points tend to rely on either building laundry rooms or external laundry services.

But why is that the status quo? Why do most New York apartments lack washers and dryers?

Many NYC buildings’ plumbing infrastructure is too old and can’t handle the additional capacity needed for each apartment to have in-unit washers and dryers. If the building happens to allow a renovation that allows for laundry facilities, it still may not be possible to add them because of wet over dry rules.

Many residential buildings in Manhattan were built in the late 1800s or early 1900s before it was common to have washing machines and clothes dryers in apartments. These buildings were meant to accommodate hand washing dishes, bathing, and not a whole lot else. But that’s not always the whole story – let’s take a closer look.

There’s Not Enough Room

A typical laundry room is realistically used infrequently, compared to other areas of an NYC apartment, so many apartment owners opt to use the space more efficiently. Why pay for space 100% of the time when you could use it for a larger closet, extra bathroom, etc?

While it’s possible to squeeze small stackable washers and dryers in most closets, the load size will likely end up so small that owners or tenants would rather take their laundry to a laundromat or pay a laundry service to take care of it all at once.

Wet Over Dry

The “Wet-Over-Dry” rule states that wet rooms, like bathrooms, kitchen, and laundry rooms, need to be placed directly above wet rooms in other units. This way, in the event of an overflow or water damage, the water will (theoretically) be contained to the wet rooms.

All co-op and condo buildings require owners to submit renovation plans before starting any work. This allows those managing the building to check for any potential issues. You can sometimes find whether or not your building allows wet-over-dry in your building’s information online, or you can always ask your building’s super.

It’s Too Expensive

Many owners or tenant/shareholders would like to add in-unit washers and dryers, but the cost is also somewhat prohibitive. Just imagine trying to renovate the plumbing (and electrical!) in a building in the middle of Manhattan, full of residents, without disturbing every single apartment…it’s just not possible.

It also certainly wouldn’t be cheap. Renovations in NYC have more red tape and regulations than most other places in the world, both of which add to the total bill. Just to add a washer or dryer, you have to file for permits with the Department of Buildings, not to mention clear things with your board.

Each washing machine must be connected to a water supply, a large capacity drainage system, and a dedicated electrical circuit. Additionally, each dryer needs to be vented directly to the exterior of the building and cleaned regularly to avoid fires.

The cost of adding all of the required infrastructure for washers and dryers to buildings not originally designed for them is not manageable for a lot of New Yorkers. 

There Are Existing Drainage Issues

If an apartment building, or even a specific unit within an apartment building, has existing drainage issues, it is unlikely the building will allow washers and dryers.

The sheer volume of water that washing machines use can make any existing pipe and drainage problems so much worse. To illustrate just how much water washers use, an average toilet uses between 1.5-3 gallons per flush, while washing machines can use up to 30 gallons per load.

If the existing pipes in the building aren’t rated for that level of flow, you’ll end up with problems both in fueling the washer with enough water to run and draining the water quickly enough after the load is finished washing.

There Are Better Laundering Solutions

Laundry is a fact of life – everyone has to do it (or have someone else do it). Many buildings that don’t allow washers and dryers in each apartment will have laundry facilities just for their residents. But that still means you have to lug your laundry down and sit with it until it’s finished.

If your building doesn’t have laundry facilities, you might find yourself making frequent trips to the laundromat. There are many available in all areas of the city, but again…you have to pack up your laundry, get it there, and sit with it until it’s clean.

That’s why so many people opt for wash and fold services instead. Some even offer pickup and delivery, and can even interface with your doorman (if your building has one). 

Interested in wash and fold laundry services? Here are the top 10 rated services on Yelp as of the time of writing!

Need help finding apartments with washers and dryers? Please reach out! The members of the Gasdaska Conlon Team would be thrilled to work with you.