Requires that the board of directors or board of managers of a converted cooperative or condominium, as the case may be, must be comprised of a majority of members elected by shareholders or owners in occupancy so that control of the converted cooperative or condominium is turned over to the unit owners as soon as possible; applies only to plans of 20 or more units.
STATE OF NEW YORK
________________________________________________________________________
1724
2023-2024 Regular Sessions
IN ASSEMBLY
January 20, 2023
___________
Introduced by M. of A. DINOWITZ, COLTON -- read once and referred to the
Committee on Housing
AN ACT to amend the general business law, in relation to plans for
conversions of residences to cooperative or condominium ownership
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Subdivision 2 of section 352-eee of the general business
2 law is amended by adding a new paragraph (g) to read as follows:
3 (g) The plan provides, if twenty or more units are proposed in such
4 plan, that a majority of the board of directors or managers shall be
5 elected by the shareholders or unit owners who are in occupancy upon the
6 first to occur of any of the following:
7 (i) fifty-one percent of the shares or units have been sold;
8 (ii) regardless of the number of unsold shares or units held by the
9 sponsor or a successor in interest, within thirty-six months from the
10 time the plan is declared effective; or
11 (iii) regardless of the number of unsold shares or units held by the
12 sponsor or a successor in interest, within thirty-six months of the
13 effective date of this paragraph.
14 § 2. Subdivision 2 of section 352-eeee of the general business law is
15 amended by adding a new paragraph (g) to read as follows:
16 (g) The plan provides, if twenty or more units are proposed in such
17 plan, that a majority of the board of directors or managers shall be
18 elected by the shareholders or unit owners who are in occupancy upon the
19 first to occur of any of the following:
20 (i) fifty-one percent of the shares or units have been sold;
21 (ii) regardless of the number of unsold shares or units held by the
22 sponsor or a successor in interest, within thirty-six months from the
23 time the plan is declared effective; or
24 (iii) regardless of the number of unsold shares or units held by the
25 sponsor or a successor in interest, within thirty-six months of the
26 effective date of this paragraph.
27 § 3. This act shall take effect immediately.
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
[] is old law to be omitted.
LBD00859-01-3
