Submitting a co-op board package? Starting this summer, you’ll be approved (or rejected) much faster
- Most boards will have 15 days to acknowledge if your application is complete
- Then the board has 45 days to notify you if you have been approved or rejected
City Council bill Int. 1120, which creates new timelines for boards to review applications, goes into effect on July 28th.
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Starting this summer, many New York City co-op buyers will gain some control over the purchasing process, thanks to a new City Council bill that will impose for the first time strict timelines for acknowledging submissions and reviewing the application.
Int. 1120, which goes into effect on July 28th, requires co-op boards to acknowledge within 15 days by email and registered mail whether your application package is complete and, if not, what is missing. If you don’t receive an acknowledgement within 15 days, the application is considered complete.
Then 45 days after the board has signaled it has received your completed application, it (or the managing agent) must notify you or your broker via email if your application has been approved or rejected. A board can also extend that period by up to 14 days—only one extension is allowed.
Co-op buyers gain some control
Until now, there’s been no requirement for co-op buildings to act within a certain timeframe, a quirk that makes buying a NYC co-op a teeth-gritting experience.
“This is a change that boards are paying attention to,” said Peter Massa, a partner in the real estate practice at Fox Rothschild. He’s advising managing agents on how to enact new protocols to comply with the law and co-authored with Fox Rothschild partner Julie Schechter a guide to the new timeline requirements for reviewing co-op purchases.
Some management companies are not happy about the new 15-day requirement to acknowledge a completed application. “The burden is on them to respond very fast” to applications that may be hundreds of pages, Massa added.
In addition, the new law requires co-ops to offer standardized applications, with forms, questionnaires and supporting document and a list of requirements for the sale as well as instructions for submission.
The new law does not apply to HDFC and Mitchell Lama co-ops; it also excludes co-op buildings with fewer than 10 apartments—these do not typically use management companies. It does not apply to condo buildings, where boards can execute or waive the right of first refusal to purchase a unit.
One of three bills related to co-ops
Initially the City Council's Committee on Housing and Buildings in late 2025 considered three bills related to co-ops. The “reasons” bill, a controversial proposal that would have required co-op boards to provide an explanation of why they rejected an applicant, and a financial disclosure bill did not come to the full Council for a vote. The latter would have made a lot of financial information on the building and shareholders available to a prospective buyer.
The Council adopted a modified version of Int. 1120 to establish standardized procedures and deadlines for co-ops to respond board package submissions. Mayor Eric Adams vetoed the bill, but the City Council overrode his veto.
What if a board is away or does not comply?
Boards do not typically meet during July and August and the clock stops for this period, but boards must publish the dates of their summer recess, Massa said.
His advice for boards: Review your application process with your attorney and make sure you are in compliance. Tip: Check out Habitat Magazine’s new compliance checklist.
If a co-op building is not in compliance, fines may be imposed of $1,000 for a first violation, $1,500 for a second, and $2,000 per third and subsequent violations. The Department of Housing Preservation and Development is charged with enforcement.
Massa’s suggestion for a buyer who has not heard back from a co-op within 45 days: You could “in theory” take the position that the application has been approved. To be clear: It’s a new law so it hasn’t yet been tested, he added.
And while you may have the ability to file a complaint with HPD, consider the fact that this would be a very aggressive way to ingratiate yourself with your future neighbors.
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