Co-Op Conversions in Northeast
BP,
I’m looking at an 8-unit deal in the Northeast that was historically a non-profit co-op with tenants already in place at substantially below market rents. The broker mentioned that the co-op will be dissolved upon sale. The new owner will be able to decide if they will gradually raise rents to market or have tenants move-out, renovate and mark-to-market. This sounds too easy…
Has anyone had any experience with this in the Northeast? Are there challenges to be aware of?