BUYER’S BROKER – REPRESENTING BUYERS
My name is Michael Roché, Real Estate Broker and Owner of Length x Width (formerly known as “Area New York”); a full-service real estate firm located in the Financial District. I have specialized in Lower Manhattan’s real estate market since 2004 and would be happy to share my knowledge and experience in real estate with you.
In addition to over 18 years of experience as a real estate broker specializing in Lower Manhattan, I was born and raised in Southbridge Towers. This combination gives me a unique perspective that allows me to utilize my relationships with SBT management, maintenance, security, the board of directors, and longtime residents; in order to provide the highest quality service to my clients.
BROKERAGE SERVICES – BUYERS
- Open House Tours
- Private Viewings
- Extended Complex Tour (playgrounds, laundry, storage, parking, etc.)
- Relationships w/ Management, Maintenance & Security
- History of Southbridge Towers
- Lower Manhattan Community Info
- Skilled Negotiations
- SBT Board Package Expertise
- 24/7 Support & Guidance
Brokerage services offered to buyer’s are paid for by the seller at closing. The buyer’s broker is compensated by the broker representing the seller in what is known as a “Co-broke” commission in which the listing broker splits the commission (typically either 5% or 6%) with the broker representing the buyer. When there is no buyers broker, the listing broker usually keeps the entire 5% or 6%.
FREQUENTLY ASKED QUESTIONS
Q. What is SBT’s Sublet Policy?
A. New shareholders are prohibited from subleasing their units for the first two (2) years of their ownership.
As per Southbridge Towers proprietary lease section 5.2, after the two (2) year period following the Shareholder may sublet the Apartment for no more than two (2) years out of any five (5) year period with a two (2) year gap period in between sublets. Shareholders are NOT permitted to sublet for less than one year (1) and not more than two (2). Shareholders who owned two units are not permitted to sublet.
Parents and children of shareholders can sublet indefinitely without paying monthly sublet fees, however, they must complete the initial sublet packet and be approved for residency.
Q. Are there any additional Fee’s associated with Subletting?
A. YES – There is a monthly fee for subletting, which is 100% of the basic monthly maintenance charge of your unit for the first (1) year, and 200% for the second (2) year.
Example Year 1:
Monthly Maintenance: $600.00 x 100% = Monthly Sublet Fee of $600.00
Total Monthly Maintenance Including Sublet Fee = $1,200.00
Example Year 2:
Monthly Maintenance: $600.00 x 200% = Monthly Sublet Fee of $1,200.00
Total Monthly Maintenance Including Sublet Fee = $1,800.00
Q. What’s the Deal with the Flip Tax? (Transfer Fee)
A. The Tenant-shareholder shall pay to the Apartment Corporation a Transfer Fee (or Flip Tax) in an amount equal to twenty eight percent (28%) of the gross sales proceeds in the event of a sale or twenty eight percent (28%) of the fair market value of the Apartment as determined by an appraisal made by an independent MAI appraiser selected by the Board of Directors, in the event of a gift transfer in connection with the first transfer or sale of the shares of stock allocated and Proprietary Lease appurtenant to a particular Apartment in the building (each an “Initial Sale”) and equal to two and one half percent (2.5%) of the gross sales proceeds in the event of a sale or two and one half percent (2.5%) of the fair market value of the Apartment as determined by an appraisal made by an independent MAI appraiser selected by the Board of Directors, in the event of a gift transfer in connection with sales or transfers other than the first sale or gift transfer of the shares of stock allocated and Proprietary Lease appurtenant to a particular Apartment (each a “Subsequent Sale”).
Initial Sales (first sale only) – 28%
Subsequent Sales (all sales after the first sale) – 2.5%
(The 28% Transfer Fee ONLY applies to the original owner selling the apartment for the first time)
Q. Is there Laundry in the Building?
A. YES – There is a newly renovated, card-operated laundry facility featuring “Hercules” washers & dryers in each of SBT’s 9 residential buildings. (Tenant-shareholders are NOT permitted to have a washer/dryer unit installed inside their apartment).
Q. What About Renovations
A. The Board and Management are committed to improving the property and will work to assist you in upgrading and renovating your apartment. It is required that Management review and approve all documents before any work can start and will conduct ongoing inspections of the work during the renovation process. This is to protect the integrity and stability of the building’s infrastructure and exterior, as well as the safety and security of you and your neighbors.
All contractors doing any type of work in your apartment must be insured and name you, Southbridge Towers, Inc and PRC Management as additionally insured. Shareholders are required to submit to the Management Office a signed Alteration Agreement, Contractor’s Scope of Work (proposal) and certificate of insurance along with a refundable security deposit against damages to the co-op before work is begun.
Q. Does Southbridge Towers Allow Pets?
A. YES – Southbridge Towers understands your pet is a member of your family, and we welcome service animals and well-socialized pets into our community. It is important for all residents and visitors of Southbridge Towers to feel secure in our facilities and on our grounds. Therefore, residents are responsible for familiarizing themselves with following dog-friendly policies and registering all dogs that reside at Southbridge Towers.
Q. Can you Combine Apartments?
A. YES – It was determined that if an apartment is to be combined the Certificate of Occupancy does not need to be updated, rather, the shareholder will be required to file for an “Alt II” which will legally join the units. The combined unit will be entitled to one vote only. In the event that a current tenant purchases and combines another unit, a future sale of both units will create a condition where the required 28% flip tax will be paid based on a proration of the share count of the original unit that has not yet been sold. The remaining prorated portion will be required to pay the 2.5% flip tax only.
Alteration Packages – Purchasers will be required to hire their own engineer to determine if an apartment can be combined with another unit. After the documents are created, the building’s engineer will review and approve or deny the request. The purchaser will be responsible for those expenses.