Category: REAL ESTATE ARTICLES

The Mercy Center’s 13th Annual Gala Dinner and Auction
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, on .
The Mercy Center’s 13th Annual Gala Dinner and Auction | George Grace

On March 16th, I had the great pleasure of being honored by the Mercy Center of the South Bronx. Mercy Center was founded in 1990 to address urgent problems of the women and children of the area by providing an oasis from a violent home, a place for children to learn to read, and for parents to study English as a second language. Enclosed is a video of my acceptance speech. I hope it will inspire you to support the important mission of Mercy Center.

Click here to read George Grace's full article....

What is NYC’s Next Hip Neighborhood—Hudson Yards?
avatar


Authored by , re: Commercial Real Estate, on .
What is NYC’s Next Hip Neighborhood—Hudson Yards? | Ruth Wharton

Hudson Yards is the largest private real estate development in the history of the United States, and the biggest development in New York City since Rockefeller Center. When completed in 2025, Hudson Yards will have several NYC firsts, including: New York’s first Neiman Marcus, a collection of restaurants curated by Chef Thomas Keller, and The Shed, a new center for artistic invention. In addition, there will be 14 acres of public open space, a 750-seat public school, and an Equinox® branded luxury hotel with more than 200 rooms. The development of Hudson Yards will create more than 23,000 construction jobs.

Click here to read Ruth Colp-Haber's full article...

What Actually Happens at a Real Estate Closing?
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
What Actually Happens at a Real Estate Closing? | Peter Roach

A real estate “closing” is the event where parties meet in order to consummate a real estate transaction. At a typical real estate closing, where one party is selling real estate to another, the parties who will attend the closing consist of the sellers and their lawyer, the buyers and their lawyer, the bank's attorney, the title closer, and one or more real estate brokers

If the purchase is being financed, there are actually two transactions that occur simultaneously; the sales transaction between Seller and Purchaser and the mortgage transaction between Lender and Borrower (who is also the purchaser).

Click here to read Peter Roach's full article...

Avoid Management by Lease
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, on .
Avoid Management by Lease | George Grace

In an ideal world, commercial tenants would work with both internal and external stakeholders to determine how much space they need before looking at properties. Management would go through a strategic planning process to figure out where the company is going, how it’s going to get there, and who’s going to take it there. The company would consult with an architect to determine its exact space needs, and necessary board or upper management approvals would be obtained beforehand.

Click here to read George Grace's full article....

Global Office Space Bargains: How Does NYC Compare?
avatar


Authored by , re: Commercial Real Estate, on .
Global Office Space Bargains: How Does NYC Compare? | Ruth Colp-Haber

Most of we New Yorkers assume that our city is probably the most expensive place in the world. However, with respect to office space, this is not the case. New York is actually the fourth most expensive city in the world. On a worldwide basis, ahead of New York, are Hong Kong, London, and Beijing. Not surprisingly, New York retains the title of “Most Expensive City in the United States.” There are many factors that affect the comparative rate for office rents worldwide. For example, each city has costs on top of the base rent.

Click here to read Ruth Colp-Haber's full article...

Which NYC Neighborhood Offers the Best Deals on Office Space?
avatar


Authored by , re: Commercial Real Estate, on .
Which NYC Neighborhood Offers the Best Deals on Office Space? | Ruth Colp-Haber

When I first started in the commercial real estate business, there was a very simple maxim: ask the CEO where he or she lived, and find a property that offered a convenient commute. However, my experience in the business has shown it’s rarely that simple. When companies look for space, they have a lot of conflicting criteria that they use in order to evaluate different NYC locations. For example:

  • How is the subway access?
  • Are there good restaurants and stores nearby?
  • Is the vicinity very crowded?
  • Can you get a taxi conveniently?
  • Is there parking available?

Click here to read Ruth Colp-Haber's full article...

After Surrendering in Bankruptcy, Contesting Foreclosure is not Allowed
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
After Surrendering in Bankruptcy, Contesting Foreclosure is not Allowed | Peter T. Roach

Oftentimes, a debtor files a bankruptcy petition that will stay a pending foreclosure. Should the debtor seek relief under Chapter 7, all property of the debtor becomes property of the bankruptcy estate and subject to disposition by the Chapter 7 trustee, with court approval. Should the Chapter 7 trustee determine that there is no equity in the mortgaged premises, he/she will “abandon” the property, and title will then revert back to the debtor. The debtor must then either pay the secured debt, or “surrender” the property to the secured creditor in satisfaction of, at least, the secured portion of the debt.

Click here to read Peter Roach's full article...

A Bronx Tale: Millions of Untapped Consumers
avatar


Authored by , re: Commercial Real Estate, Real Estate, on .
A Bronx Tale: Millions of Untapped Consumers | George Grace

Recently, I’ve started working with a national company based in the midwest. Their New York office is located in Westchester County, but they have become eager to relocate closer to the city. One of the places they are considering is in the Bronx. I thought this was an interesting choice, as I have written previously about how relatively low and stable the rents are in nearby Westchester. My client elaborated that it wants to be in a more densely populated area because of its sales organization; the more people near it, the better off it is.

Click here to read George Grace's full article....

Should I Buy a Short Sale?
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
Should I Buy a Short Sale? | Peter Roach

A “short sale” is a sale of real estate in which the proceeds from the sale will be “short” of the aggregate amount needed to pay, in full, the liens secured by the property being sold.

Typically, the property being sold is in foreclosure and the lender is willing to accept a lesser amount than the total amount owed—as full payment of its mortgage—in order to avoid the time and expense of completing the foreclosure.

Click here to read Peter Roach's full article...

THE CERTIFICATE OF OCCUPANCY*
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, Residential Real Estate, on .
THE CERTIFICATE OF OCCUPANCY* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

We have all heard the term “Certificate of Occupancy” when involved with a real estate transaction but many of us do not the full ramifications of what it is and what the New York City Building Department (DOB) requires. Don’t underestimate the importance of the Certificate of Occupancy. Whether you’re buying, renovating, or in a legal tussle with a landlord, you’ll occasionally hear talk of the “CO,” “C of O,” or Certificate of Occupancy. And while this legal document isn’t exactly the sexiest part of any real estate transaction, there’s a whole lot of power in this little piece of paper, so much so that it has the clout to win legal cases, end negotiations, put the kibosh on your mortgage, and more.

Click here to read Eric P. Gonchar's full article...

DECIDING TO PURCHASE A CONDOMINIUM OR COOPERATIVE APARTMENT*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
DECIDING TO PURCHASE A CONDOMINIUM OR COOPERATIVE APARTMENT* | Eric P. Gonchar

©Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

Before purchasing a condo or co-op apartment, it is imperative that the Purchaser understand the significant differences between the two types of ownership. There are numerous legal and financial differences.

Click here to read Eric P. Gonchar's full article...

How to Leverage Your Real Estate Broker
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
How to Leverage Your Real Estate Broker | George Grace

One important reason to hire an exclusive real estate professional “Why hire an exclusive real estate broker to represent you when finding space?” is a question that I find fairly often. Some benefits, like managing the logistics of viewings, are easy to imagine, but there are others that many would-be tenants do not come to appreciate until they are in the process. In the interest of getting around that gap in understanding, in this post, I offer a case study.

Click here to read George Grace's full article....

LEGAL REPRESENTATION FOR REAL ESTATE PURCHASES AND SALES*
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, Residential Real Estate, on .
LEGAL REPRESENTATION FOR REAL ESTATE PURCHASES AND SALES* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

The selection of a seasoned, competent and communicative attorney may be the single most important relationship in a real estate transaction. Now more than ever choosing an attorney who is sufficiently competent and whose fee is reasonable and customary is not the only two criteria to select a lawyer. A seller or purchaser should retain an attorney who is competent and experienced, who can protect your interests, who understands the market and who can help and not hinder the transaction.  Remember, if your attorney fails to include important provisions or negotiate a provision properly, the only person that will suffer is the client.

Click here to read Eric P. Gonchar's full article...

A CO-OP’S GUIDE TO REFINANCING AN UNDERLYING MORTGAGE*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
A CO-OP’S GUIDE TO REFINANCING AN UNDERLYING MORTGAGE* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

Refinancing an underlying mortgage of a cooperative corporation is a complex, time· consuming and expensive transaction. There are numerous tasks a corporation can do to prepare for a successful closing. The following is an outline of what can be done by the Board of Directors to pre-qualify the cooperative corporation for an underlying mortgage with a lender.

Click here to read Eric P. Gochar's full article...

SAVING NEW YORK STATE MORTGAGE RECORDING TAX*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
SAVING NEW YORK STATE MORTGAGE RECORDING TAX* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

Purchasing a new home can be a very costly venture for a purchaser. The costs involve more than just the price of the property. Purchasers will face a string of settlement costs especially when a loan is involved. These loan costs include everything from loan origination fees to appraisal charges to credit report costs to lender legal fees. Each year closing costs continue to rise because lenders are required to comply with the ever-changing mortgage regulations and stricter lending requirements.

Click here to read Eric P. Gonchar's full article...

NEW LAWS AFFECTING AIRBNB STARTING 2017*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
NEW LAWS AFFECTING AIRBNB STARTING 2017* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

As most of know, Airbnb is a peer-to-peer online marketplace and network enabling people to list and rent short-term lodging in residential properties, with the cost of such accommodation set by the property owner.

Airbnb was founded in August of 2008 and is based in San Francisco, California. It has become a trusted community marketplace for people to list, discover, and book on-line o from a mobile phone, unique accommodations around the world at any price point and for any type of property (ranging from a small apartment to a large mansion). The company receives percentage service fees from both guests and hosts in conjunction with every booking. In 2006, Airbnb was said to have over 2,000,000 listings in 34,000 cities and 191 countries. While there are other recognized companies like Homeaway, One Fine Stay, For Rent by Owner, Airbnb has been the leading company for people to monetize their extra space and showcase it to an audience of millions.

Click here to read Eric P. Gonchar's full article...

REAL ESTATE DUE DILIGENCE (Part 2 of 2)*
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, Residential Real Estate, on .
REAL ESTATE DUE DILIGENCE (Part 2 of 2)* | Eric P. Gonchar

©2013 Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

This is part 2 of a 2 section article about conducting due diligence on real estate transactions and should be read in conjunction with the sister article.

Financing The Purchase – While Condominiums generally do not set limitations on how much a purchaser may borrow, co-ops generally do. The purchaser must first determine if the co-op will allow the buyer to purchase the apartment with a loan which is secured by a pledge of the shares of the co-op. Many older co-ops do not allow financing at all. For those co-op’s that do allow financing, it is important to determine what the financing limitations are before the contract is signed. If the purchaser wants to finance 80% of the sales price but the co-op only allows 70%, then the transaction should not proceed.

Click here to read Eric P. Gonchar's full article...

REAL ESTATE DUE DILIGENCE (Part 1 of 2)*
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, Residential Real Estate, on .
REAL ESTATE DUE DILIGENCE (Part 1 of 2)* | Eric P. Gonchar

©2013 Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

This is part 1 of a 2 section article about conducting due diligence on real estate transactions and should be read in conjunction with the sister article.

One of the most important, if not the most important, parts of any real estate transaction is conducting a thorough due diligence review of the property to be purchased. The prospective purchaser should investigate the property thoroughly before signing a contract of sale.

Click here to read Eric P. Gonchar's full article...

CUSTOMARY PROVISIONS IN A LETTER OF INTENT FOR A COMMERCIAL LEASE*
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, on .
CUSTOMARY PROVISIONS IN A LETTER OF INTENT FOR A COMMERCIAL LEASE* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

In a prior article, we examined the preliminary considerations for a Tenant in leasing retail or commercial space. Once the Tenant has a space picked out, it is time to understand the lease terms and negotiate the lease. The terms of the Lease will be summarized in a document called a “Letter of Intent.” This can be a complicated process, especially considering all the legal terminology and lease-speak that is often more confusing than it is helpful.  Keep in mind, a larger more well established Tenant may have more of an ability to negotiate better terms than a new start-up company without any experience.

Click here to read Eric P. Gonchar's full article...

PRELIMINARY CONSIDERATIONS FOR A TENANT IN LEASING RETAIL OR COMMERCIAL SPACE*
avatar


Authored by , re: Commercial Real Estate, REAL ESTATE ARTICLES, on .
PRELIMINARY CONSIDERATIONS FOR A TENANT IN LEASING RETAIL OR COMMERCIAL SPACE* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

There are many considerations a Tenant must take into account before deciding to lease commercial space. But even before finding the right space, in the right neighborhood at the right rent, the Tenant must be prepared to provide certain financial and personal information to the Landlord.

Click here to read Eric P. Gonchar's full article...

Authority vs. Responsibility
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
Authority vs. Responsibility | George Grace

Throughout my career, I have seen many situations in which doing business is made difficult by a dysfunctional power structure, but there are two that are particularly vexing:

1. A person has all of the authority, but none of the responsibility; or

2. A person has all of the responsibility, but none of the authority.

Authority: Landlord Responsibility: Project Manager I once worked on a project that was overseen by a tenant’s project manager and the landlord. The two did not get along, which is very typical because the project manager is usually holding the landlord’s feet to the fire.

Click here to read George Grace's full article....

CLOSING DATES & “TIME OF THE ESSENCE” CLOSING*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
CLOSING DATES & “TIME OF THE ESSENCE” CLOSING* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

Sometimes the most negotiated point in a contract of sale for the purchase of real property (including the purchase of a co-op) is the closing date. There are many variables that affect the closing date some of which are in the control of the seller and purchaser and some of which are not.

Click here to read Eric P. Gonchar's full article...

LOT LINE WINDOWS – BUYERS BEWARE!*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
LOT LINE WINDOWS – BUYERS BEWARE!* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

A “lot line window” is a window that is built on a side of a building that shares a boundary line with a neighboring property.  If the adjacent building is built up to or higher than this window, then the lot line window will likely need to be sealed off. For example, Unit 8A has a living room window that faces North. The adjoining property owner on the North builds a 10 story building blocking the windows of Unit 8A. Lot line windows will not affect an owner as an apartment dweller unless your neighbors build up to the level of your apartment or higher.  The concern for a purchaser is that a lot line window that is never disclosed and years later an adjoining building is constructed resulting in the window being permanently closed. In the event such obstruction occurs, the owner would be required to close up the window (usually at the owner’s own trouble and expense), losing both natural light and view.

Click here to read Eric P. Gonchar's full article...

THE BOARD APPLICATION PROCESS*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
THE BOARD APPLICATION PROCESS* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

Every cooperative and condominium apartment purchase generally requires some sort of board application. Some applications can be very lengthy (particularly co-op applications) while others can be quite simple. Recently, condo applications have become very cumbersome particularly for luxury buildings. Co-op’s have always had some control as to who buys in the building by requiring a detailed board application from the purchaser. But now condominiums have gotten on the band wagon and have started to require very detailed and lengthy applications.

Click here to read Eric P. Gonchar's full article...

POST CLOSING OCCUPANCY AGREEMENTS*
avatar


Authored by , re: REAL ESTATE ARTICLES, Residential Real Estate, on .
POST CLOSING OCCUPANCY AGREEMENTS* | Eric P. Gonchar

© Eric P. Gonchar. All rights reserved. No portion of this article may be reproduced without the expressed written permission of Eric P. Gonchar.

Working out the logistics of a seller moving out of one apartment and into a new apartment can be very sensitive and complicated. If the two closings cannot be handled simultaneously, then the seller will need to move out of the existing property, place his or her belongings in storage and stay in a hotel until the purchase can be completed. This can be a very large hassle and expense to the seller.

Click here to read Eric P. Gonchar's full article...

Should I Buy a New Home Before I Sell My Own?
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
Should I Buy a New Home Before I Sell My Own? | Peter Roach

Should I buy a new home before I sell my own? The short answer is: It depends. If you want to minimize your financial risk, then you should sell your current house first and then buy a new one. If on the other hand, you want to minimize your inconvenience, then you should buy your new house first and then sell your current one. If you value your convenience more, you should buy your new house first. It is much more convenient because you can take as long as you like to find your “perfect house” and then move into it whenever you want.

Click here to read Peter Roach's full article...

Getting Out of the City and Into Paradise
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
Getting Out of the City and Into Paradise | George Grace

Have you ever taken a moment to appreciate the curves of a quiet country road surrounded by bursts of yellows, reds and a last touch of green? It truly is a pleasure to drive in and out of rock formations, farmland, and forests – with bends and rises just gentle enough to let you satisfy your need for speed. When I spend time at my place in the Catskill Mountains, approximately 2.5 hours from New York, I notice a world of difference in terms of geography, topography, and economics.

Click here to read George Grace's full article....

What Is Your Real-Estate Specialty?
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
What Is Your Real-Estate Specialty? | Mendy Lipsker

{3:12 minutes to read} When people need auto repair, they go to an auto mechanic who can probably fix whatever is wrong with their car. A successful vehicle repair person will specialize in foreign, luxury, sports, and/or racing vehicles. You will get the best service from the mechanic who specializes in the problem you have or the type of vehicle that you own.

When someone is not well, they go to their doctor. In medical school, doctor’s usually become an expert in a particular field of study, so going to your cardiologist and saying, “I’ve got pink eye,” is probably not going to get your condition treated.

Click here to read Mendy Lipsker's full article...

There’s No Substitute for Leg Work in Real Estate
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
There’s No Substitute for Leg Work in Real Estate | George Grace

I was at a networking event recently where we were asked to do an intellectual exercise. The speaker posed the question: If you had a magic wand, what would you change—even if it was disruptive—to make your life better? The point of the exercise was to get us thinking about our businesses and the services we offer from a different perspective. As I listened to other people respond, I had a realization: there can never be a magic wand in the real estate business.

Click here to read George Grace's full article....

Guest Blogger: Scott Evans Talks About HELOC
avatar


Authored by , re: REAL ESTATE ARTICLES, on .
Guest Blogger: Scott Evans Talks About HELOC | Robert Bordett

In my last blog, I had an article by Scott Evans about ARM Rates. This is a continuation of mortgages.  Scott Evans wrote about Home Equity Line Resets. Home Equity Line Resets For some, other looming issues are Home Equity Line of Credit (HELOC) loans that were taken out between 2006 and 2008. A typical HELOC provides a 10-year interest-only payment option but then will convert to a fully amortizing 15 or 20-year loan (where you would be paying the principal back).

Click here to read Robert Bordett's full article...