§ 352-EE — Conversion of non-residential property to residential cooperative or condominium ownership

New York § 352-EE

• Jurisdiction: New York
• Law GBS: General Business
• Art. 23-A: Fraudulent Practices In Respect to Stocks, Bonds and Other Securities

Text

§ 352-ee. Conversion of non-residential property to residential\ncooperative or condominium ownership. 1. The attorney general shall\nrefuse to issue a letter stating that the offering statement or\nprospectus required in subdivision one of section three hundred\nfifty-two-e of this article has been filed whenever it appears that the\noffering statement or prospectus offers for sale residential cooperative\napartments or condominium units located in a city of over one million in\npopulation pursuant to a plan for the alteration or conversion of the\nbuilding to residential use under cooperative or condominium ownership,\nother than a plan relating to a building already in compliance with\nsection three hundred one of the multiple dwelling law, unless the\noffering statement or prospectus contains the following:\n (i) a statement that a copy of plans for such alteration or\nconversion, approved in accordance with section three hundred of the\nmultiple dwelling law, has been submitted to the attorney general prior\nto the issuance by the attorney general of a letter stating that the\noffering statement or prospectus has been filed;\n (ii) a report prepared by an architect or engineer licensed by the\nstate which sets forth such alterations to the public portions and\ncommon areas of the building and such alterations to individual spaces\nor dwelling units as may be necessary to obtain a permanent certificate\nof occupancy for permanent residential use of the premises;\n (iii) a statement, satisfactory to the attorney general, that it is\nthe obligation of the sponsor to complete all alterations and\nimprovements to the public portions and common areas of the building in\ncompliance with such approved plans within the time specified in the\nplan;\n (iv) a statement, satisfactory to the attorney general, that it is the\nobligation of the sponsor to complete all alterations and improvements\nto individual spaces or dwelling units in compliance with such approved\nplans within the time specified in the plan or, if the sponsor does not\nundertake such obligation, that it is the obligation of the individual\nowners of shares in the cooperative corporation or of condominium units,\nunder the supervision of the cooperative corporation or, in the case of\na condominium, under the supervision of the board of managers, to\ncomplete such alterations and improvements within the time specified in\nthe plan; and\n (v) a statement that a permanent certificate of occupancy is required\nfor permanent residential use of the premises, that a temporary\ncertificate of occupancy may only be renewed for a total period of two\nyears from the date of its original issuance and that, if the temporary\ncertificate of occupancy shall have expired prior to obtaining a\npermanent certificate of occupancy, residential occupancy of the\npremises will be in violation of the multiple dwelling law, subjecting\nthe occupants and the cooperative corporation and its board of directors\nor, in the case of a condominium, the unit owners and board of managers,\nto penalties under the multiple dwelling law including eviction of\nresidential occupants.\n 2. "Residential use" shall mean, for the purposes of this section,\nspace to be used for either living or joint living-work and shall be\npresumed if the offering statement or prospectus sets forth items which\nrelate to residential use of the space, including but not limited to,\nincome tax benefits under section two hundred sixteen of the internal\nrevenue code, real property tax benefits available to residential\nproperty or alterations required for the issuance of a permanent\ncertificate of occupancy for permanent residential use of the premises.\n