Re-Zoning, NYC

[Trevor Ewen]

We're looking at a deal in New York City (the Bronx, specifically). If you were to walk into this place, you would think: "Oh, it's a three unit building, and it needs some work."

Turns out the seller actually has 4 separate units in there. Furthermore, when we checked out the records, we found out it was a legal 2!

So, we're interested, but only if we can get it back (down and then up) to a three unit. We would buy it as the two, given the clauses that they get rid of the illegal tenants, but then we can only get it to cash flow if it is a 3 unit. 

NYC re-zone stories would be great, but any stories about the process would be helpful.

Thanks