409 Edgecombe Ave

This building is an HDFC Co-Op. HDFC Co-Ops may take longer to sell for a few reasons - the qualifications are strict, often times financing is more difficult, and HDFC co-ops impose a high flip tax (30 percent or more of a seller’s profits go to the co-op at sale. The median DOM for Co-Ops in Upper Manhattan is 80 days as it is, and the reasons above contribute to what you are seeing.

Ian Smith
Licensed RE Salesperson
Bohemia Realty Group
ian@bohemiarealtygroup.com

I am afraid that it is still very uncommon, even for an HDFC, for an apartment to stay in the market for almost two years or more. Most recently I submitted an offer for apartment 11G. At the time two more offers for apartments 4c and 9c were brought to the attention of the Board. The applications, diligently prepared with the assistance of our attorneys and agents, were swiftly rejected without any justification. We were all very unpleasantly surprised, to say the least! I had the opportunity to speak with one of the agents of ABC Properties/Fisher Associates, the company that manages the building, and they expressed their surprise as well, especially since recently two more applications for two other apartments had been rejected without the buyers even being invited for an interview.

Some of us brought the issue to the attention of the Attorney General and the NYC Department of Housing Preservation and Development. You can imagine the frustration of all parties involved! After very copious efforts to find a bank that would lend to the building - more than 15% of the tenants do not pay maintenance for a while now, so most banks would not lend to 409 Edgecombe - and after making sure that we all fulfilled the qualifications, those at least explicitly described, being rejected without explanation invites speculation.

I am afraid that the practices to which this particular building engages do a disservice to the much-needed institution of co-op housing.

Why don't you consider renting an apartment at 555 edgecombe avenue? Very nice owner, staff and tenants.

There are a handful of HDFC's in Upper Manhattan that have exceedingly high rejection rates - 409 is one of them. I have no idea why they reject so many candidates- but it's not exactly a low risk building either. I haven't submitted any offers there in about 2 years but they did have a lot of issues to address - beyond the non-paying units. If you see an HDFC that is well underpriced to market in Harlem or Hamilton Heights they are either financially risky purchases, don't allow gifting, or have very high rejection rates.

From the sold prices of last few years in this HDFC, it's doing very good.

And to be frank, most HDFCs are better than most nasty UES COOPS, despite the tenants are not that rich, but most of them are much more friendly

That is surface level observations. I have actually read the meeting minutes- though it was two years ago. The flip taxes will help, but it's going to be a very long time before the building is truly healthy.

Coops can be like insane asylums - you don't wake up one morning and miraculously find things have gone from absolutely crazy to perfectly normal overnight.

I would be very interested in reading the Board meeting minutes of 409 Edgecombe as well. However, the Board would not allow that until after a contract would be signed. Though I understand this is legal, it is yet another unorthodox practice that took everyone involved in the buying process by surprise.

I don't have much experience in buying into HDFCs and definitely none in UES Coops but these practices raise flags one should be aware. These are practices that, as I mentioned above, do not serve well the much-needed institutions of affordable housing. I only wish that the Attorney General's Office, the NYC Department of Housing Preservation and Development and any other organization responsible for the maintenance of the HDFCs as an institution take some action. As citizens of NYC where housing is becoming increasingly not affordable I fell it is important to hold the respective institutions accountable.