If you have anymore questions feel free to contact me as soon as possible at 646-725-5941.
Full Time Top Sales Agent
Weichert Realtors, H.P Greenfield
I have never heard of such a thing. I bounced this question off a real estate attorney I know who specializes in co-ops and he told me "don't buy the co-op." He also didn't believe it, nor do I. Maybe we are wrong, but I doubt it. I suggest you speak to an attorney before you do anything. I am curious, whre in Brooklyn are you looking to purchase a co-op? Perhaps I can find you a good co-op that actually has an offering plan readily available as it should be.
Below I cut and paste my answer to your original question. Good luck.
This is also referred to as an offering plan. A co-op is actually a corporation and just like any other corporation, if you are going to offer out shares of stock for to the public to invest in you have to disclose what the corporation is all about. This would include how it makes money and will continue to remain solvent. It basically describes the co-op, how many units, shares of stock attributed to each unit and a whole bunch or other legal and technical jargon pertaining to the co-op. This gives a broad overview of what the co-op is all about. Usually you would need an attorney or an accountant to make sense of it.
This is required for all co-ops, I have never heard of a co-op not having one. If the management company does not have the "book" you can get a copy from the Attorney General's office (google it!). I do not believe "they don't have one," that sounds crazy to me. Have a lawyer who is familiar with co-ops help you, they will be able to dig it out. You will also want to see all the "amendments" which update the offering plan book over time and the last two years financial statements to make sure the co-op is in good financial health.
If I can be of further assistance to you, please let me know. Good luck!
Madison Estates & Properties, Inc
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