This is the latest from our New York City council. This affects all buildings four family or more.
Ralph Yozzo
This is the latest from our New York City council. This affects all buildings four family or more.
Editor's note: we have to ask where is the list of so-called nonprofits and public private partnerships in those that know how to work with government???
In the context of NYC Intro 0902-2024 (the Community Opportunity to Purchase Act or "COPA"), qualified entities are specific organizations certified by the Department of Housing Preservation and Development (HPD) that are granted a first opportunity to purchase certain residential buildings.
According to the legislative text, a qualified entity is defined as:
1. Primary Definition
Not-for-profit entities certified by HPD.
Joint ventures that include at least one HPD-certified not-for-profit entity and at least one certified for-profit entity.
2. Certification Criteria for Not-for-Profits
To be certified as a qualified entity, a not-for-profit must meet the following requirements (to be further detailed by HPD rules):
Tax-Exempt Status: Must be exempt from federal income tax under Section 501(c)(3) of the Internal Revenue Code.
Capacity & Experience: Must demonstrate the financial and legal capacity to acquire and manage residential real property.
Affordable Housing Commitment: Must have a record of owning/managing residential property (specifically affordable housing) and a demonstrable commitment to its preservation.
Community Engagement: Must show the ability to work effectively with governmental organizations and community stakeholders.
3. Certification Criteria for For-Profits (in Joint Ventures)
For-profit partners in a joint venture must also be certified based on:
Demonstrated capacity to acquire, rehabilitate, and manage residential real property.
A record of managing property with affordability restrictions and maintaining those restrictions.
A commitment to the preservation of affordable housing.
Why these entities are "Qualified"
Under the bill, these entities are given special legal rights regarding the sale of "covered properties" (generally residential buildings with 4+ units that meet certain distress or affordability triggers), including:
Right of First Offer: The right to submit a bid before the property is available on the public market.
Right of First Refusal: The right to match a third-party offer and purchase the property under the same terms.