Sublease Policy
41-15 44 th Street Owners Corp
C/o ALL AREA REALTY SERVICES INC
99 TULIP AVENUE, SUITE 302, FLORAL PARK, NY 11001
PH: 718-721-0700 FAX: 516-417-8401
Sublease Policy
The Proprietary Lease 41-15 44 th Street Owners Corp. provides the Board with the authority to regulate subleasing of shareholder owned apartments. From time to time, the Board may adopt or amend policies with regard to subleasing for various reasons including, but not limited to, refinancing the Co-op’s underlying mortgage and financing the purchase or the refinance of an existing mortgage of an apartment may be adversely affected as a result of the Co-op having a low owner occupancy ratio.
In light of the foregoing, the Board has adopted certain changes in its Sublease Policy and the new Sublease Policy set forth below is effective April 1, 2018.
- This Sublease Policy is intended to supplement the provisions of the Co-op’s governing documents, including, but not limited to, any House Rules or regulations promulgated by the Board and each Shareholder’s Proprietary Lease. The Sublease Policy may be modified by the Board from time to time on notice to the Shareholders.
- Shareholders may not sublease prior to two (2) years following the purchase of their apartment.
- Any request to sublease shall be in writing and require the completion of the Co-op’s application for sublease, on the Co-op’s standard form, which shall be submitted to the Co-op’s Managing Agent. All supporting documentation and payment(s) of any requisite fees shall be delivered at the time of application submittal.
- No sublease agreement shall have a term exceeding twelve (12) months.
- Any sublease agreement executed without the Board’s consent will be considered null and void; neither the Board nor the Co-op shall be responsible or liable for any damages, losses, or claims resulting from unauthorized sublet agreements.
- Any request to renew an existing sublease shall be in writing and accompanied by an executed copy of the sublease renewal or new sublease, which shall be submitted to the Co-op’s Managing Agent. Such request with a Subtenant that has been previously approved by the Board may require the completion of the Co-op’s application for sublease in whole or in part, as determined by the Board in its sole
discretion. - Shareholders may not sublease their apartments for more than three (3) cumulative years in any five (5) year period.
- Sublease fees relating to any sublease shall be subject to review and modification by the Board from time to time.
- A sublease fee equal to THREE HUNDRED AND FIFTY DOLLARS ($350.00) in addition to one dollar ($1.00) per shares owned shall be paid yearly by any shareholder subleasing her/his apartment, effective the first month the apartment is sublet, together with the maintenance payment.
- No sublease will be approved that will cause the building’s owner occupancy ratio to drop or remain below fifty percent (50%) of the Co-op’s total shares. If this ratio is surpassed, no additional subleases will be approved. The owner requesting to sublease will be placed on a waiting list maintained by the Managing Agent. The Board may amend this threshold at any time in its sole discretion.
- If a Subtenant moves out before the maximum sublease period has elapsed, the shareholder must observe the waiting list, if applicable, before subleasing to a new Subtenant.
- Shareholders will be assessed a $500.00/month penalty for each instance of unauthorized subleasing or non-compliance with these provisions.
- A full month’s sublease fee will be charged to the Shareholder regardless of the number of days a sublease tenant occupies the Shareholder’s apartment during the final month of the lease term or the subtenant’s occupancy of the apartment.
- The Co-op’s Managing Agent shall submit each completed sublease application (or renewal) to the Board for the Board’s review and approval. All prospective Subtenants shall be required to submit to a Board interview, unless waived by the Board. Consistent with the provisions of the Co-op’s governing documents, including any rules or regulations promulgated by the Board and each Shareholder’s Proprietary Lease, the Board shall have the sole discretion whether to schedule a Subtenant interview, whether to approve or deny a sublease application (or renewal), and whether to impose any condition(s) relating to any sublease application (or renewal), as part of the granting of its consent. Any approval or denial of a sublease application (or renewal) by the Board shall be communicated to the Co-op’s Managing Agent, who shall in turn advise the applicant.
- Shareholders are responsible for their respective Subtenants’ compliance with the House Rules and for any losses, fines, or damages caused or incurred by their Subtenants including, but not limited to, legal costs.
- Subtenants are not permitted to have pets of any kind other than service animals.