NYC Versus Bronxville Co-Ops
Cooperative apartments, or co-ops, in New York City and Westchester County share some similarities but also have significant differences due to their respective markets, regulations, and demographics. Here are some key distinctions between NYC and Westchester co-ops:
Location and Market Dynamics:
NYC Co-ops: Cooperative apartments are a prevalent form of housing in New York City, particularly in Manhattan, where they represent a significant portion of the housing stock. The NYC real estate market is highly competitive, with demand often outpacing supply, especially in desirable neighborhoods.
Westchester Co-ops: Co-ops are also present in Westchester County, but they are less common compared to NYC. Westchester County offers a suburban lifestyle with proximity to New York City, making it attractive to commuters seeking more space and a quieter environment. The market dynamics in Westchester may differ from those in NYC, with variations in pricing, inventory, and demand. Bronxville has a large co-op stock all within walking distance to the village.
Ownership Structure:
NYC Co-ops: In New York City, cooperative apartments are typically structured as a corporation, where residents own shares in the cooperative corporation rather than owning real property outright. Shareholders have proprietary leases that entitle them to occupy specific units within the building.
Westchester Co-ops: Co-ops in Westchester County may follow a similar ownership structure to those in NYC, with residents purchasing shares in a cooperative corporation. However, there may be variations in governing documents, bylaws, and shareholder rights depending on the specific co-op.
Board Approval Process:
NYC Co-ops: One of the most significant differences between NYC and Westchester co-ops is the board approval process. In NYC co-ops, the board of directors has substantial discretion in approving or rejecting potential buyers based on criteria such as financial stability, creditworthiness, and personal interviews. The process can be rigorous and sometimes subjective. NYC co-ops do not have to disclose why a buyer was rejected, and boards can as for additional information, such as affidavits of net worth and reference letters to confirm the buyer is who they say they are and their liquidity is correct.
Westchester Co-ops: While co-op boards in Westchester County also have authority to approve or reject potential buyers, the approval process may be less stringent compared to NYC. Boards may focus more on financial qualifications and less on personal interviews or subjective criteria. A board will have to disclose why a buyer was rejected. This change is effective August 1, 2021, and follows Section 700.21-a of the Westchester County Fair Housing Law. Westchester County Gov’s website also discloses the fines a co-op can incur for not documenting the receipt, and denial of a co-op purchase.
Size and Amenities:
NYC Co-ops: Cooperative buildings in New York City can vary widely in size and amenities, ranging from small walk-up buildings to luxury high-rises with extensive amenities such as doormen, gyms, and rooftop terraces.
Westchester Co-ops: Similarly, co-op buildings in Westchester County may offer a range of sizes and amenities, but they are generally smaller in scale compared to NYC. Amenities may include common areas, parking facilities, and landscaped grounds, but luxury amenities may be less common.
Price and Affordability:
NYC Co-ops: Cooperative apartments in New York City tend to command higher prices compared to Westchester County, particularly in prime neighborhoods such as the Upper East Side, Upper West Side, and Tribeca. Affordability can be a challenge for many buyers in NYC, especially for properties in desirable locations.
Westchester Co-ops: Co-op apartments in Westchester County may offer better affordability relative to NYC, although prices can still vary depending on the location, size, and condition of the property. Westchester County provides options for buyers seeking more space and value compared to Manhattan and other parts of NYC. There are more spacious co-ops under $1MM located in Westchester County as compared to NYC.
Other Inhabitants: Pets!
Both NYC and Westchester (Bronxville) Co-ops and typically will outline the building’s pet policy. Sometimes there are breed, weight, and quantity restrictions to how many dogs/cats, or other a buyer can harbor in their home. If a buyer has a proven and documented disability and is in need of a service animal, the Fair Housing Guidelines will supersede any co-op rules, and a reasonable accommodation to harbor the pet is often times granted by the co-op for the buyer. In order to correctly present the buyer’s need, and to understand if your case is unique and permissible - reach out to Teresa to discuss in detail.
Overall, while both NYC and Westchester co-ops share similarities in ownership structure and cooperative governance, there are notable differences in market dynamics, board approval processes, amenities, and affordability. Prospective buyers should carefully consider these factors when evaluating co-op properties in either locations, and team up with Teresa to not only tour properties but review an independent Financial Analysis to help you understand all costs associated with co-op ownership.