Cooperative Corporation (Co-op)
In NYC housing practice, a cooperative is typically structured as a corporation that owns the building, with occupants holding shares in the corporation and occupying units under proprietary leases. NYS transfer tax guidance and NYC transfer tax guidance both treat co-op transfers as taxable "conveyances" in defined ways (even though unit transfers are not deeded fee transfers).
- Where it applies
- NYS / NYC
- When it comes up
- Purchase/sale (shares); financing; governance
- Property types
- Residential co-op buildings (sometimes mixed-use)
Read more in the Knowledge Base
- Ground Lease Residential StructuresBuyers
- Selling a Condop in NYC: Hybrid Structure, Board Rules, and Buyer ConfusionSellers
- Title Insurance and Surveys - Resolving Title Issues Before ClosingBuyers
- Financial Underwriting for Co-op vs. Condo Acquisitions - Comparative LogicBuyers
- Commercial Tenant Risk in Mixed-Use Buildings - How Retail Performance Affects Residential Common ChargesBuyers
Co-op Governance
- Co-op Board (Board of Directors)
- Flip Tax (Co-op Transfer Fee)
- Maintenance (Co-op)
- Offering Plan (Co-op/Condo Sponsor Sales)
- Proprietary Lease
- Real Estate Finance Oversight
- Resale (Co-op/Condo)
- Shares (Co-op)
- Sponsor (Co-op/Condo)
General information, not legal, tax or financial advice.