A.G. SCHNEIDERMAN LAUNCHES NEW POLICY TO STREAMLINE AND MODERNIZE OFFICE'S REAL ESTATE OVERSIGHT FUNCTIONS
New Electronic Policy Will Increase Efficiencies In Transactions Between Purchasers And Developers
Schneiderman: Policy Is Part Of Effort To Modernize Our Office's Oversight Of The Real Estate Market
Yesterday, Attorney General Eric T. Schneiderman announced a policy to help streamline the public offering of units in cooperatives, condominiums, homeowners associations and timeshares. The policy, which will require developers to give prospective purchasers the option of receiving plans in a searchable digital format, is part of the Attorney General's comprehensive initiative to modernize his office's real estate oversight functions and facilitate transactions in the market. The policy will become mandatory on April 1, 2012.
"By allowing the distribution of offering plans in a digital format, we are increasing efficiencies in real estate transactions in a way that is beneficial for both developers and prospective purchasers. It's a win-win," said Attorney General Schneiderman. "This new policy is part of our comprehensive plan to bring residential real estate transactions in New York into the 21st century."
An offering plan is a prospectus that must be filed with the Attorney General's office describing the details of the sale of cooperative interests in realty such as co-ops, condos, homeowners associations and timeshares. Before Cooperative Policy Statement 10 (CPS10), offering plans could only be distributed in voluminous hard copies. The new policy is designed to facilitate dealings between developers and purchasers, while also reducing the impact on the environment. Additionally, purchasers and their attorneys will be able to search documents for relevant terms rather than through printed books. Prospective purchasers who prefer to receive hard copies will still be able to request them from developers.
CPS10 is part of a broader initiative by Attorney General Schneiderman to make more information available to the public in a user-friendly format. In December, the Attorney General launched a new feature on his website to allow anyone to search for basic information about filings regarding cooperatives, condominiums, homeowners' associations, or timeshares.
This information, which was formerly available only on the office's internal network, is now publicly accessible at: http://offeringplan.datasearch.ag.ny.gov/REF/
CPS10 comes amidst Attorney General Schneiderman's ongoing work to establish an electronic filing system of real estate offering materials that will allow for the submission and review of documents filed with our office.
The complete text of this new policy can be found at: http://www.ag.ny.gov/bureaus/real_estate_finance/pdfs/CPS-10_FINAL.PDF
This initiative was handled by Chief Counsel Lewis A. Polishook and Deputy Bureau Chief Susan Scharbach under the supervision of Real Estate Finance Bureau Chief Marissa Piesman and Executive Deputy Attorney General for Economic Justice Karla G. Sanchez.