Sample Proprietary Lease For Co-op
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FAQ
Also known as occupancy agreements, proprietary leases stake out the rights and responsibilities of shareholders and the cooperative corporation's board of directors. For example, most of the units in New York City form co-ops.
Each co-op owner either holds shares in the association just like owning shares in any other corporation or, if there are no shares, has what is known as a proprietary lease. That lease spells out the rights and responsibilities of the owner, as well as the obligations and duties of the association.
A proprietary lease, also referred to as an occupancy agreement, gives a shareholder in a housing cooperative the right to occupy a particular dwelling unit. Homebuyers who join a co-op are purchasing shares in a corporation rather than acquiring real estate.
What is a proprietary lease? A proprietary lease, also referred to as an occupancy agreement, gives a shareholder in a housing cooperative the right to occupy a particular dwelling unit. Homebuyers who join a co-op are purchasing shares in a corporation rather than acquiring real estate.
Assignment of Proprietary Lease means the specific agreement creating a first lien on and pledge of the Co-op Shares and the appurtenant Proprietary Lease securing a Co-op Loan.
