Conversion Of Multi Family Properties To Condo In NY & NJ
I need to know the legal procedure for converting a multifamily rental property to Condo. I also need to know the time frame involved, and the money required to accomplish it. Any information will be greatly appreciated. Thank you :-?
I am involved in attempting to convert a small multiuse manufacturing commercial building into lofts for artists and artisans in residence. This is in an area designated for Artists to live. Of course the great planners of LaLa land neglected to arrange for proper housing for the artists and artisans. Accordingly we have a small cart before the horse. A lovely upcoming area being heavily speculated but with none of that most vital ingrediant. Artists and Artisans.
I understand that Redevelopment has suggested that we convert the overage supply of Bank Tellers to this Artistic Status. For some reason I do not think it will work. What to do. Do what I am trying to do. I am running into a great deal of opposition. Seems there is another developer who wishes to do the same thing. His solution is highrise and the lofts starting at around $2,500 to $3,500 a month.
Tell me dear friends of TCI, do any of you know any artists with this kind of major bucks available for housing and working space? I do not. I would like to, but alas over the last 82 years of my life, I have found that artistic talent seems to accompany a lack of commercial ability. They need help. I would like to do it. Shall I give up and start to paint by numbers? Perhaps I could emulate Jackson and just throw paint on a wall and quit.
Frustrated. Lucius
Unfortunately this process is usually governed by a local city law. Any advice I could give would be pretty useless. Find an attorney who has done several.
Lufos,
I am curious, is your intention to help out artists and artisans by providing housing or are you just attempting to work out a profitable venture through the current zoning in your property's area (or both)?
Hi Syeal,
I started to look into this process myself. I would start with the town zoning board and see if it is allowed. There may be certain qualifications you need to meet such as a certain amount of parking spaces per unit. This would be a great place to start for asking questions.
I would also research recent RE transactions for condos that have sold (that were converted). How many DOM? Will the market bear more. A recent search in one of my target towns showed conversions that had expired rather than sold. I would also consult an attorney regarding the cost to draft up condo documentation, they may be able to answer a lot of questions about the process in general. Good Luck!
Dear Lucius,
I know of two active artist "colonies" in the Boston area that are thriving. I have been surrounded by starving artists all my life. Most of them keep the hope alive "discovery" while they hold onto a day job. From time to time they host open studios which offer a great opportunity for the public to see their work and bohemian lifestyle. and sell their work!! Keep the hope alive, I think it is a great idea. 8-)
The big cost in condo conversions, anywhere, is the engineering, as each unit must have its own exact measurements (metes & bounds) established.
Therefore the first place to go when considering a CC is local engineering co. as that's who will have the info you need. They work/fight with planning and zoning all the time and get quite expert in that endeavor.
I'm in the middle of converting a multi to condos in Boston.
Metro Boston's the home of the multi convert. Literally.
Of all the multi's in the area, close to 60% have been split/converted/sold because of the price explosion in the past five years. The average guy/girl/family can no longer afford a single, so a condo is the next best thing to getting away from renting.
Anyway, I've just converted one unit and it just went on the market this afternoon. Basically, I've got insight into the "mysterious" world of converts up the ying-yang. Beleive me, I also had numerous questions when I started, and nobody had any answers.
Drop me a line with specific questions and I'll be glad to answer.
By the way, in Mass, I needed an architect ($1 sq. ft. living space-- including basement--to create master deed), a surveyor (mine ran me $2500 to plot the land, deed parking) and a RE attorney (roughly $2000) to produce legal condo docs.
Total cost of my condo docs was around $7K, which was precisely the estimate I'd heard from others who'd converted in the area.
But for your area, any decent RE attorney should know the correct procedure, or at least know someone he can refer you to who does.
[addsig]