An apartment cooperative will typically involved a corporation renting apartments to people who are also owners of stock in the corporation. The apartment complex is owned by the corporation.
Two basic documents are ordinarily involved in the transfer of a member's or stockholder's interest in a cooperative apartment corporation: (1) an agreement for the purchase and sale of the proprietary lease and the appurtenant membership or stock; and (2) the instrument of assignment.
The agreement of purchase and sale is similar in format to an agreement for the sale of real property. The seller agrees to assign all rights under the proprietary lease covering the unit, and to sell the membership or stock in the corporation. The seller also agrees to procure the consent of the corporation to the transfer if this is required in the proprietary lease. The purchaser agrees to pay the purchase price and to submit references to the corporation and otherwise cooperate in procuring its consent to the transfer, and also promises to execute an agreement in a form approved by the corporation by which the purchaser assumes and agrees to be bound by all covenants and conditions of the proprietary lease.
The instrument of assignment does not differ materially from an ordinary assignment of a lease of real property, except that the assignor's interest in the membership or stock in the corporation is assigned together with interests under the proprietary lease. Ordinarily, the assignor declares that there are no liens or other claims outstanding against the lease or the shares to be assigned, that there are no undischarged bankruptcy proceedings or unsatisfied judgments or tax liens outstanding against the assignor, and that the assignor has full right and authority to assign the lease and shares.
The Ohio Agreement for Purchase and Sale of Rights to Cooperative Apartment is a legal document that outlines the terms and conditions of buying or selling rights to a cooperative apartment in the state of Ohio. It is used to ensure a smooth and lawful transaction between the buyer and seller, while protecting their respective rights and interests. This agreement is specifically designed for cooperative apartments, which are a unique form of housing where residents own shares in a cooperative corporation that owns the entire building. Unlike traditional apartment buildings, where residents rent their units, in a cooperative apartment arrangement, residents own shares in the corporation and hold a proprietary lease to occupy a specific unit. The Ohio Agreement for Purchase and Sale of Rights to Cooperative Apartment typically includes various sections and clauses that address important aspects of the transaction. These may include the identification of the parties involved (buyer and seller), a description of the cooperative apartment, purchase price and payment terms, terms for transfer of shares and proprietary lease, and any contingencies or conditions that must be met. In Ohio, there may be different types of agreements for the purchase and sale of rights to cooperative apartments, depending on the specific circumstances or requirements of the parties involved. Some examples of these types of agreements may include: 1. Standard Ohio Agreement for Purchase and Sale of Rights to Cooperative Apartment: This is the commonly used agreement form that covers the general terms and conditions of buying or selling cooperative apartment rights in Ohio. 2. Ohio Agreement with Seller Financing: In some cases, the seller may offer financing to the buyer, allowing them to make installment payments over a specified period. This agreement type would detail the specific terms of the seller financing arrangement. 3. Ohio Agreement with Contingencies: This type of agreement includes specific conditions or contingencies that must be met before the sale can be finalized. This could include items such as the buyer obtaining financing or the property passing certain inspections or assessments. It is important for both buyers and sellers to carefully review and understand the terms of any Ohio Agreement for Purchase and Sale of Rights to Cooperative Apartment before signing it. Legal advice may be sought to ensure all necessary elements are included and that the agreement aligns with applicable Ohio laws and regulations.
