SRO Brownstone Question

Hi all. Looking for some wisdom here. I am considering putting an offer in on a brownstone which was converted from a two-family to an SRO back in the ’50s. It’s been owned by the same family since that time. The owner says it has not been used as an SRO in the last 30 years, and the building’s layout is essentially back as it was as a two-family (owner duplex on lower two units, single apartment on the third floor). The bank has tentatively said that if the appraisal comes back as a two family, it will lend on the property. I will then have to change the C of O later. Does this sound like a potential nightmare or something easily tackled?

robby

in Home Buying 8 years and 11 months ago

6

Please log in, in order to post replies!

6 replies

Newest Oldest

Guest User | 8 years and 11 months ago

string(1) "3"
string(6) "195734"

Hi, We have worked with SRO’s before. Feel free to reach out to discuss further.

Sara Edelman
Mortgage Consultant
NMLS: 65858
Approved Funding Corp.
1838 Coney Island Avenue
Brooklyn, NY 11230
C. 718-207-7751
sedelman@approvedfunding.com

resident2 | 8 years and 11 months ago

string(1) "1"
object(WP_User)#4887 (8) {
  ["data"]=>
  object(stdClass)#4890 (12) {
    ["ID"]=>
    string(6) "181002"
    ["user_login"]=>
    string(9) "resident2"
    ["user_pass"]=>
    string(34) "$P$BYKCrEpDU34.3RJghRPk8/Xp1XpCve/"
    ["user_nicename"]=>
    string(9) "resident2"
    ["user_email"]=>
    string(21) "Jamanda1255@Yahoo.com"
    ["user_url"]=>
    string(0) ""
    ["user_registered"]=>
    string(19) "2017-08-10 14:07:33"
    ["user_activation_key"]=>
    string(0) ""
    ["user_status"]=>
    string(1) "0"
    ["display_name"]=>
    string(9) "resident2"
    ["spam"]=>
    string(1) "0"
    ["deleted"]=>
    string(1) "0"
  }
  ["ID"]=>
  int(181002)
  ["caps"]=>
  array(1) {
    ["bbp_participant"]=>
    bool(true)
  }
  ["cap_key"]=>
  string(15) "wp_capabilities"
  ["roles"]=>
  array(1) {
    [0]=>
    string(15) "bbp_participant"
  }
  ["allcaps"]=>
  array(1) {
    ["bbp_participant"]=>
    bool(true)
  }
  ["filter"]=>
  NULL
  ["site_id":"WP_User":private]=>
  int(1)
}

If it is an SRO it will end up costing a lot of time & money. There is always a reason why something is cheaper than other listings….. If you do want to go ahead, make sure you get a letter of no harassment from the current owners and that you use an Attorney that knows Brooklyn Brownstones. Let us know which Bank finances SRO’s…. make sure you are working with a Brooklyn experienced Mortgage Banker/ Broker… or you will be wasting an awful lot of time and energy for it all to fall apartment when the title comes in and the Banks underwriters nix it.

Augustiner | 8 years and 11 months ago

string(1) "1"
object(WP_User)#4891 (8) {
  ["data"]=>
  object(stdClass)#4892 (12) {
    ["ID"]=>
    string(5) "45573"
    ["user_login"]=>
    string(10) "Augustiner"
    ["user_pass"]=>
    string(34) "$P$B34SD8yEA6Hi8EPJJfH83mCf4GZmmP0"
    ["user_nicename"]=>
    string(10) "augustiner"
    ["user_email"]=>
    string(18) "flo@flat-peach.com"
    ["user_url"]=>
    string(32) "http:///forums/users/augustiner/"
    ["user_registered"]=>
    string(19) "2017-08-10 13:35:10"
    ["user_activation_key"]=>
    string(0) ""
    ["user_status"]=>
    string(1) "0"
    ["display_name"]=>
    string(6) "August"
    ["spam"]=>
    string(1) "0"
    ["deleted"]=>
    string(1) "0"
  }
  ["ID"]=>
  int(45573)
  ["caps"]=>
  array(2) {
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["cap_key"]=>
  string(15) "wp_capabilities"
  ["roles"]=>
  array(2) {
    [0]=>
    string(10) "subscriber"
    [1]=>
    string(15) "bbp_participant"
  }
  ["allcaps"]=>
  array(4) {
    ["read"]=>
    bool(true)
    ["level_0"]=>
    bool(true)
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["filter"]=>
  NULL
  ["site_id":"WP_User":private]=>
  int(1)
}

If HPD webpage shows B units and you have no C of O then it is an SRO. The fact that it is configured as 2 family is rather a disadvantage because that means it has been illegally converted, which is something the HPD inspector doesn’t like to see.
If it has been done 20 years ago then you should be fine. If the property is in move in condition and renovated recently it can lead to problems.
The HPD is somewhat mysterious, you won’t find clear guidelines.

As far as permits and obtaining an C of O: You will need everything and everything goes by the book. No ‘under the radar’ renovation possible. Calculate cost for a complete gut and an extra 100.000 for additional cost for conversion plus 1 year more until completion than a house with a regular c of o.
You can’t just take over existing mechanicals becauase you can’t show existing plans. Everything new. Still then, the art is to get it done by the old ’68 (?) code – otherwise you need to do everything as if was a new construction and even more manure will blow your way.

And make sure whoever is in the house has le ft when you buy it. That is essential. No people in there that will more out next month.
Otherwise add another year add best.

cate | 8 years and 11 months ago

string(1) "1"
object(WP_User)#4888 (8) {
  ["data"]=>
  object(stdClass)#4898 (12) {
    ["ID"]=>
    string(6) "176696"
    ["user_login"]=>
    string(4) "cate"
    ["user_pass"]=>
    string(63) "$wp$2y$10$4JNbGAK5cKoEp6kzsYVSBO7oMZphxvnQPCDInpVARCm3B1Dj6U75i"
    ["user_nicename"]=>
    string(4) "cate"
    ["user_email"]=>
    string(20) "cate@brownstoner.com"
    ["user_url"]=>
    string(0) ""
    ["user_registered"]=>
    string(19) "2017-08-10 14:24:59"
    ["user_activation_key"]=>
    string(0) ""
    ["user_status"]=>
    string(1) "0"
    ["display_name"]=>
    string(13) "Cate Corcoran"
    ["spam"]=>
    string(1) "0"
    ["deleted"]=>
    string(1) "0"
  }
  ["ID"]=>
  int(176696)
  ["caps"]=>
  array(2) {
    ["administrator"]=>
    bool(true)
    ["editor"]=>
    bool(true)
  }
  ["cap_key"]=>
  string(15) "wp_capabilities"
  ["roles"]=>
  array(2) {
    [0]=>
    string(13) "administrator"
    [1]=>
    string(6) "editor"
  }
  ["allcaps"]=>
  array(191) {
    ["switch_themes"]=>
    bool(true)
    ["edit_themes"]=>
    bool(true)
    ["activate_plugins"]=>
    bool(true)
    ["edit_plugins"]=>
    bool(true)
    ["edit_users"]=>
    bool(true)
    ["edit_files"]=>
    bool(true)
    ["manage_options"]=>
    bool(true)
    ["moderate_comments"]=>
    bool(true)
    ["manage_categories"]=>
    bool(true)
    ["manage_links"]=>
    bool(true)
    ["upload_files"]=>
    bool(true)
    ["import"]=>
    bool(true)
    ["unfiltered_html"]=>
    bool(true)
    ["edit_posts"]=>
    bool(true)
    ["edit_others_posts"]=>
    bool(true)
    ["edit_published_posts"]=>
    bool(true)
    ["publish_posts"]=>
    bool(true)
    ["edit_pages"]=>
    bool(true)
    ["read"]=>
    bool(true)
    ["level_10"]=>
    bool(true)
    ["level_9"]=>
    bool(true)
    ["level_8"]=>
    bool(true)
    ["level_7"]=>
    bool(true)
    ["level_6"]=>
    bool(true)
    ["level_5"]=>
    bool(true)
    ["level_4"]=>
    bool(true)
    ["level_3"]=>
    bool(true)
    ["level_2"]=>
    bool(true)
    ["level_1"]=>
    bool(true)
    ["level_0"]=>
    bool(true)
    ["edit_others_pages"]=>
    bool(true)
    ["edit_published_pages"]=>
    bool(true)
    ["publish_pages"]=>
    bool(true)
    ["delete_pages"]=>
    bool(true)
    ["delete_others_pages"]=>
    bool(true)
    ["delete_published_pages"]=>
    bool(true)
    ["delete_posts"]=>
    bool(true)
    ["delete_others_posts"]=>
    bool(true)
    ["delete_published_posts"]=>
    bool(true)
    ["delete_private_posts"]=>
    bool(true)
    ["edit_private_posts"]=>
    bool(true)
    ["read_private_posts"]=>
    bool(true)
    ["delete_private_pages"]=>
    bool(true)
    ["edit_private_pages"]=>
    bool(true)
    ["read_private_pages"]=>
    bool(true)
    ["delete_users"]=>
    bool(true)
    ["create_users"]=>
    bool(true)
    ["unfiltered_upload"]=>
    bool(true)
    ["edit_dashboard"]=>
    bool(true)
    ["update_plugins"]=>
    bool(true)
    ["delete_plugins"]=>
    bool(true)
    ["install_plugins"]=>
    bool(true)
    ["update_themes"]=>
    bool(true)
    ["install_themes"]=>
    bool(true)
    ["update_core"]=>
    bool(true)
    ["list_users"]=>
    bool(true)
    ["remove_users"]=>
    bool(true)
    ["promote_users"]=>
    bool(true)
    ["edit_theme_options"]=>
    bool(true)
    ["delete_themes"]=>
    bool(true)
    ["export"]=>
    bool(true)
    ["NextGEN Gallery overview"]=>
    bool(true)
    ["NextGEN Use TinyMCE"]=>
    bool(true)
    ["NextGEN Upload images"]=>
    bool(true)
    ["NextGEN Manage gallery"]=>
    bool(true)
    ["NextGEN Manage tags"]=>
    bool(true)
    ["NextGEN Manage others gallery"]=>
    bool(true)
    ["NextGEN Edit album"]=>
    bool(true)
    ["NextGEN Change style"]=>
    bool(true)
    ["NextGEN Change options"]=>
    bool(true)
    ["email_users_notify"]=>
    bool(true)
    ["email_single_user"]=>
    bool(true)
    ["email_multiple_users"]=>
    bool(true)
    ["email_user_groups"]=>
    bool(true)
    ["NextGEN Attach Interface"]=>
    bool(true)
    ["copy_posts"]=>
    bool(true)
    ["ure_edit_roles"]=>
    bool(false)
    ["ure_create_roles"]=>
    bool(false)
    ["ure_delete_roles"]=>
    bool(false)
    ["ure_create_capabilities"]=>
    bool(false)
    ["ure_delete_capabilities"]=>
    bool(false)
    ["ure_manage_options"]=>
    bool(false)
    ["ure_reset_roles"]=>
    bool(false)
    ["edit_ads_txt"]=>
    bool(true)
    ["manage_feed_settings"]=>
    bool(true)
    ["edit_feed_source"]=>
    bool(true)
    ["read_feed_source"]=>
    bool(true)
    ["delete_feed_source"]=>
    bool(true)
    ["edit_feed_sources"]=>
    bool(true)
    ["edit_others_feed_sources"]=>
    bool(true)
    ["publish_feed_sources"]=>
    bool(true)
    ["read_private_feed_sources"]=>
    bool(true)
    ["delete_feed_sources"]=>
    bool(true)
    ["delete_private_feed_sources"]=>
    bool(true)
    ["delete_published_feed_sources"]=>
    bool(true)
    ["delete_others_feed_sources"]=>
    bool(true)
    ["edit_private_feed_sources"]=>
    bool(true)
    ["edit_published_feed_sources"]=>
    bool(true)
    ["manage_feed_source_terms"]=>
    bool(true)
    ["edit_feed_source_terms"]=>
    bool(true)
    ["delete_feed_source_terms"]=>
    bool(true)
    ["assign_feed_source_terms"]=>
    bool(true)
    ["edit_feed_item"]=>
    bool(true)
    ["read_feed_item"]=>
    bool(true)
    ["delete_feed_item"]=>
    bool(true)
    ["edit_feed_items"]=>
    bool(true)
    ["edit_others_feed_items"]=>
    bool(true)
    ["publish_feed_items"]=>
    bool(true)
    ["read_private_feed_items"]=>
    bool(true)
    ["delete_feed_items"]=>
    bool(true)
    ["delete_private_feed_items"]=>
    bool(true)
    ["delete_published_feed_items"]=>
    bool(true)
    ["delete_others_feed_items"]=>
    bool(true)
    ["edit_private_feed_items"]=>
    bool(true)
    ["edit_published_feed_items"]=>
    bool(true)
    ["manage_feed_item_terms"]=>
    bool(true)
    ["edit_feed_item_terms"]=>
    bool(true)
    ["delete_feed_item_terms"]=>
    bool(true)
    ["assign_feed_item_terms"]=>
    bool(true)
    ["edit_feed_blacklist"]=>
    bool(true)
    ["read_feed_blacklist"]=>
    bool(true)
    ["delete_feed_blacklist"]=>
    bool(true)
    ["edit_feed_blacklists"]=>
    bool(true)
    ["edit_others_feed_blacklists"]=>
    bool(true)
    ["publish_feed_blacklists"]=>
    bool(true)
    ["read_private_feed_blacklists"]=>
    bool(true)
    ["delete_feed_blacklists"]=>
    bool(true)
    ["delete_private_feed_blacklists"]=>
    bool(true)
    ["delete_published_feed_blacklists"]=>
    bool(true)
    ["delete_others_feed_blacklists"]=>
    bool(true)
    ["edit_private_feed_blacklists"]=>
    bool(true)
    ["edit_published_feed_blacklists"]=>
    bool(true)
    ["manage_feed_blacklist_terms"]=>
    bool(true)
    ["edit_feed_blacklist_terms"]=>
    bool(true)
    ["delete_feed_blacklist_terms"]=>
    bool(true)
    ["assign_feed_blacklist_terms"]=>
    bool(true)
    ["edit_feed_template"]=>
    bool(true)
    ["read_feed_template"]=>
    bool(true)
    ["delete_feed_template"]=>
    bool(true)
    ["edit_feed_templates"]=>
    bool(true)
    ["edit_others_feed_templates"]=>
    bool(true)
    ["publish_feed_templates"]=>
    bool(true)
    ["read_private_feed_templates"]=>
    bool(true)
    ["delete_feed_templates"]=>
    bool(true)
    ["delete_private_feed_templates"]=>
    bool(true)
    ["delete_published_feed_templates"]=>
    bool(true)
    ["delete_others_feed_templates"]=>
    bool(true)
    ["edit_private_feed_templates"]=>
    bool(true)
    ["edit_published_feed_templates"]=>
    bool(true)
    ["manage_feed_template_terms"]=>
    bool(true)
    ["edit_feed_template_terms"]=>
    bool(true)
    ["delete_feed_template_terms"]=>
    bool(true)
    ["assign_feed_template_terms"]=>
    bool(true)
    ["edit_shortcoder"]=>
    bool(true)
    ["read_shortcoder"]=>
    bool(true)
    ["delete_shortcoder"]=>
    bool(true)
    ["edit_shortcoders"]=>
    bool(true)
    ["edit_others_shortcoders"]=>
    bool(true)
    ["publish_shortcoders"]=>
    bool(true)
    ["delete_shortcoders"]=>
    bool(true)
    ["delete_published_shortcoders"]=>
    bool(true)
    ["delete_others_shortcoders"]=>
    bool(true)
    ["edit_published_shortcoders"]=>
    bool(true)
    ["aioseo_manage_seo"]=>
    bool(true)
    ["aioseo_page_analysis"]=>
    bool(true)
    ["aioseo_page_general_settings"]=>
    bool(true)
    ["aioseo_page_advanced_settings"]=>
    bool(true)
    ["aioseo_page_schema_settings"]=>
    bool(true)
    ["aioseo_page_social_settings"]=>
    bool(true)
    ["rank_math_edit_htaccess"]=>
    bool(true)
    ["rank_math_titles"]=>
    bool(true)
    ["rank_math_general"]=>
    bool(true)
    ["rank_math_sitemap"]=>
    bool(true)
    ["rank_math_404_monitor"]=>
    bool(true)
    ["rank_math_link_builder"]=>
    bool(true)
    ["rank_math_redirections"]=>
    bool(true)
    ["rank_math_role_manager"]=>
    bool(true)
    ["rank_math_search_console"]=>
    bool(true)
    ["rank_math_site_analysis"]=>
    bool(true)
    ["rank_math_onpage_analysis"]=>
    bool(true)
    ["rank_math_onpage_general"]=>
    bool(true)
    ["rank_math_onpage_advanced"]=>
    bool(true)
    ["rank_math_onpage_snippet"]=>
    bool(true)
    ["rank_math_onpage_social"]=>
    bool(true)
    ["rank_math_admin_bar"]=>
    bool(true)
    ["rank_math_analytics"]=>
    bool(true)
    ["rank_math_content_ai"]=>
    bool(true)
    ["srm_manage_redirects"]=>
    bool(true)
    ["SPF Manage Analytics"]=>
    bool(false)
    ["administrator"]=>
    bool(true)
    ["editor"]=>
    bool(true)
  }
  ["filter"]=>
  NULL
  ["site_id":"WP_User":private]=>
  int(1)
}

If a C of O exists and says it’s an SRO, or if it is registered with HPD as an SRO, then you could have issues getting financing, and changing the C of O is expensive and time consuming, and could trigger an increase in property tax.

robby | 8 years and 11 months ago

string(1) "1"
object(WP_User)#4893 (8) {
  ["data"]=>
  object(stdClass)#4899 (12) {
    ["ID"]=>
    string(6) "194396"
    ["user_login"]=>
    string(5) "robby"
    ["user_pass"]=>
    string(34) "$P$BTcD/.m7QMAhhlQjiKwv//4zK7kPFY/"
    ["user_nicename"]=>
    string(5) "robby"
    ["user_email"]=>
    string(19) "robroy.robroy@wp.pl"
    ["user_url"]=>
    string(0) ""
    ["user_registered"]=>
    string(19) "2024-02-23 14:26:48"
    ["user_activation_key"]=>
    string(0) ""
    ["user_status"]=>
    string(1) "0"
    ["display_name"]=>
    string(61) "Your first name Your last name Your first name Your last name"
    ["spam"]=>
    string(1) "0"
    ["deleted"]=>
    string(1) "0"
  }
  ["ID"]=>
  int(194396)
  ["caps"]=>
  array(1) {
    ["subscriber"]=>
    bool(true)
  }
  ["cap_key"]=>
  string(15) "wp_capabilities"
  ["roles"]=>
  array(1) {
    [0]=>
    string(10) "subscriber"
  }
  ["allcaps"]=>
  array(3) {
    ["read"]=>
    bool(true)
    ["level_0"]=>
    bool(true)
    ["subscriber"]=>
    bool(true)
  }
  ["filter"]=>
  NULL
  ["site_id":"WP_User":private]=>
  int(1)
}

Thank you!

jcm | 8 years and 11 months ago

string(1) "1"
object(WP_User)#4887 (8) {
  ["data"]=>
  object(stdClass)#4900 (12) {
    ["ID"]=>
    string(5) "29214"
    ["user_login"]=>
    string(3) "jcm"
    ["user_pass"]=>
    string(34) "$P$Bcrlabc2Un3qevNkqPnRCA4zAemiV70"
    ["user_nicename"]=>
    string(3) "jcm"
    ["user_email"]=>
    string(24) "architect@jmcgroarty.net"
    ["user_url"]=>
    string(54) "http://bstoner.wpengine.com/forums/users/architect140/"
    ["user_registered"]=>
    string(19) "2017-08-10 13:46:16"
    ["user_activation_key"]=>
    string(0) ""
    ["user_status"]=>
    string(1) "0"
    ["display_name"]=>
    string(3) "jcm"
    ["spam"]=>
    string(1) "0"
    ["deleted"]=>
    string(1) "0"
  }
  ["ID"]=>
  int(29214)
  ["caps"]=>
  array(2) {
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["cap_key"]=>
  string(15) "wp_capabilities"
  ["roles"]=>
  array(2) {
    [0]=>
    string(10) "subscriber"
    [1]=>
    string(15) "bbp_participant"
  }
  ["allcaps"]=>
  array(4) {
    ["read"]=>
    bool(true)
    ["level_0"]=>
    bool(true)
    ["subscriber"]=>
    bool(true)
    ["bbp_participant"]=>
    bool(true)
  }
  ["filter"]=>
  NULL
  ["site_id":"WP_User":private]=>
  int(1)
}

You probably will want to do some homework to document what you might be dealing with. DOB records – is there a C of ) for the SRO? HPD – multiple dwelling registration, history, etc? My guess is that it was never a legal 2 family. Getting a C of O (new) or amended takes a bit of time and money. As a two story + basement you won’t have to put in a sprinkler system.