A Webb & Brooker Publication April 2013 

Bernard Warren has been selected to serve as Vice Chairman of the Board for the 125th Street Business Improvement District. The key mission of the 125th BID is to expand economic activity, including support for the creation or expansion of businesses that create jobs and other benefits for the surrounding community.

Webb & Brooker, Inc. Forms Commercial Brokerage Alliance
Webb & Brooker, Inc. and Bloom Real Estate Group LLC have announced their collaboration in commercial brokerage in the Harlem Real Estate Market, serving the growing demand for commercial space in Harlem.

The new affiliation provides Webb & Brooker with the ability to expand its commercial brokerage services. Although Webb & Brooker has brokered numerous transactions over the years, the company has been known primarily as a manager of residential and commercial properties.

The alliance will also strengthen Bloom Real Estate Group’s presence as a highly active broker in Harlem.

Sample Housing Development Fund Corporation (HDFC) Apartment Resale Procedures

  1. Seller: Sends letter to Manager expressing the consideration to sell apartment and requesting Maximum Resale Price for the apartment.
  2. Manager: Contacts Agency to obtain Maximum Resale Price for apartment.
  3. Agency: Calculates Maximum Resale Price and sends letter to Manager advising of amount.
  4. Manager: Sends letter to Seller informing of Maximum Resale Price.
  5. Seller: Requests Purchase Application from Management office.
  6. Manager: Provides seller with Application package and enters name of person who received package and the date package was received on cover page. Keeps copy of cover page for Management office files.
  7. Manager: Enters “Package Returned” date on cover page. Reviews package to determine if package is complete. Forwards application to Compliance Department. Retains one copy of completed application for the Management Office files. Provides copy of Offering Plan to Seller.
  8. Compliance Dept: Reviews package to determine if package is complete (if any corrections are needed on the application, the application package is returned to Seller for corrections).
  9. Compliance Dept: Compliance Supervisor processes and forwards original and one copy of Application to Agency for review and approval.
  10. Agency: Reviews application.
  11. Manager: Provides copy of Agency approval to Board. Schedules interview between Board and approved prospective buyer.
  12. Owners: Interview approved prospective buyer.
  13. Manager: Contacts Corporate attorney to schedule Apartment Closing.
  14. Corporate Attorney: Schedules closing with Seller’s and Buyer’s attorneys and advises Manager of closing date.
  15. Manager: Performs new Cooperator Orientation and provides new Cooperator (Buyer) with copies of House Rules, etc.

Different Rules for Buying Apartment Insurance
Insurance needs for renters, cooperative apartments and condominium units are different. Here are a few points to keep in mind when buying your personal insurance for your home:

When you rent an apartment or house, you need insurance that covers you and your belongings in case of an unfortunate event. The essentials of quality renters insurance protection include furniture, clothing, electronics, linens, shoes, sports equipment, pots, pans, dishes, glasses, your appliances, additional living expenses if you have to move out of the apartment due to a covered loss, and personal liability coverage.

You may require additional coverage for valuable items you own where policies limit the amount of coverage provided for items such as jewelry, watches, furs, silverware, cameras, fine art, etc.

Please be sure your policy includes replacement cost coverage and personal injury coverage. You should ask about identify theft fraud coverage. Depending upon the location of your belongings, you may need water backup coverage. Ask if there is a package of policy enhancements that may be beneficial to you.

Premium credits are available for burglar and/or fire alarms, smoke detectors, dead bolt locks, fire extinguishers and interior sprinkler systems. Be sure you’re receiving credit for the protection features in your apartment. If you have a car and buy your policies from the same insurance company, most insurance companies allow a premium credit on both of the policies. Secure quotes with a few different deductible options to determine which combination makes the most sense for you. Being able to afford a higher deductible will result in a lower premium cost to you.

Cooperative Apartments
As the shareholder of your cooperative apartment, your insurance needs are different than those of a renter or condominium unit owner. The master policy purchased by the cooperative corporation covers your unit’s building, the common areas, and shareholders’ collective liability. Shareholders of a cooperative apartment need more coverage in comparison to renters’ insurance needs.

Check the by-laws of your building to see if the master policy insures the structural interior of your apartment, if this insurance is your responsibility, or if coverage must be provided as a combination of the two. We’re talking about floors, walls, wall coverings, cabinets, bathroom fixtures, lighting, etc. Often, the insurance responsibility for the structural interior of the apartment falls upon the shareholder. This is called Additions and Alterations coverage and should be equal to the amount needed to structurally rebuild the interior of your apartment. You should know the square footage of your home and develop a cost per square foot that is inclusive of quality of material, workmanship and cost to recreate the interior structure. As an example, a 700 square foot apartment with a cost to rebuild of $125 per square foot should have no less than $87,500 of Additions and Alterations coverage. If you, the prior owners or occupants have made renovations to the apartment, most likely the insurance responsibility for the renovations will fall to the shareholder and will not be insured by the master policy. Again, the building’s by-laws will dictate the responsibility.

Further, be sure your policy includes coverage for loss assessment to assist with costs which the cooperative corporation assesses on all shareholders due to a loss on common property which exceeds the master policy limit.

Condominium Unit Owners
The insurance needs of the owner of a condominium unit will require all of the coverage mentioned above. The distinction between the cooperative apartment shareholder’s insurance needs and that of an owner of a condominium unit is that almost always, the by-laws of the building place the insurance responsibility for the structural interior of the apartment on the unit owner. The master policy will not provide coverage for the structural interior of your unit. In contrast to cooperative shareholders, condominium unit owners own their apartments.

Your coverage level should be sufficient and adequate to cover the cost of rebuilding the structural interior of your home – floors, walls, wall coverings, cabinets, bathroom fixtures, lighting, etc.

The cost per square foot will encompass the quality of workmanship and materials can vary significantly as the features of your home are likely different than those of your friends and neighbors.

Rachel Barrett, CIC, Executive Vice President of The Whitmore Group, Ltd.

Copyright © 2013 Webb & Brooker
Webb & Brooker, Inc.