Thinking of Selling Your Home...Read this First
- Details
- Hits: 23758
Although Scarsdale’s real estate market has held up much better than most, it is still a tough time to sell a house. Recently, the Building Department in Scarsdale, with little if any public discussion, instituted a policy change which will make the process of selling a home much more difficult and costly for many residents. The change relates to how a seller of an older home complies with its obligation to deliver a certificate of occupancy for the property or other evidence that such a certificate is not required.
The typical contract of sale to sell a home makes it a condition of the buyer’s obligation to close that the seller deliver a certificate of occupancy (or certificate of compliance) or evidence that none were required covering the building and all other buildings on the property authorizing their use as a single family residence.
Many homes in Scarsdale were constructed prior to the date in 1923 that the Village required the issuance of certificates of occupancy for all new construction. In the past, the owner complied with its obligation by obtaining a letter from the Village, commonly referred to as a Pre-Date Letter, in which the Village stated that according to Village records the house was constructed prior to the date that certificates of occupancy were issued. The process was quite simple; a request was made, a nominal fee paid, and the Village issued the letter.
Purchasers, their lenders, and their respective attorneys universally accepted the Pre-Date Letters without questioning whether certificates of occupancy or compliance should have been issued for subsequent renovations made to the Premises. The vast majority of homes in Scarsdale built prior to the issuance of certificates of occupancy have been renovated since the original construction. Unfortunately many of these renovations were performed without obtaining the required permits and certificates of occupancy for the work. A Pre-Date letter was never intended to be a certification by the Village that the renovations were performed in accordance with law.
As a result of this misunderstanding, the Village has adopted a new policy with respect to the issuance of Pre-Date letters. Under this policy, the Building Department will inspect the house following a request for a Pre-Date Letter. . If the inspector determines that renovations were made without proper permits, the homeowner is required to “legalize” the renovation -- that is to file plans, obtain a permit and certificate of occupancy for the renovation.
This is a very costly proposition, particularly when it relates to the legalization of finished basements and attics. In many cases these renovations were performed years ago by prior owners, and requiring compliance with current code is expensive. In some cases, the current owners purchased the house relying on the Pre-Date letter, and are now being told that they must spend thousands of dollars to obtain certificates of occupancy for renovations made before their ownership.
This often arises in the course of selling the house when there are significant time constraints. In once case, an owner who had purchased a house in 1993, relying on a Pre-Date letter, could not obtain a new Pre Date letter without legalizing a finished basement and mud room enclosure, both of which existed when they purchased the home. Legalizing the finished basement required obtaining a ceiling height variance from the State (a process that takes up to 4 months) and the total cost of bringing the renovations up to code exceeded $40,000.
This drastic change in Village policy seemed to have occurred without any public hearing and, in fact, without any written notification of the new policy. Only after several local real estate agents and attorneys raised this issue did the Village publish the new policy in November 2010. The policy is now available on the Village website under Hot Topics.
As of this date, however, it is unclear how the new procedure will be enforced. For instance, would it be fair to require a homeowner to “legalize” an attic that was clearly renovated many years ago by complying with current building code that requires the installation of a fire suppression system? Generally, decisions as to what must be done to legalize an existing renovation have been left to the discretion of the Building Department Inspector.
I suggest that anyone thinking about selling an older home that was built prior to the issuance of certificates of occupancy contact the Village Building Department prior to putting the home on the market to determine exactly what will be required to obtain a new Pre-Date Letter.
Keith E. Schutzman has been practicing real estate law for over 25 years. The majority of his practice is residential transactions in Scarsdale and vicinity. He lives and works in Scarsdale, and has been a resident of Greenacres for 18 years with his wife and their three boys who attend the Scarsdale public schools. Mr. Schutzman has been active in community affairs and coaching for many years. His comments about residential real estate have been sought out and quoted in major publications, including the New York Times and Money Magazine. Contact him at 914-713-0001 or by email at: KSchutzman@aol.com
Meet the Nominees
- Details
- Hits: 5044
The Scarsdale School Nominating Committee has selected residents Sunil Subbakrishna and Jonathan Lewis to run for the Scarsdale Board of Education.These men have backgrounds in technology and finance, both important issues facing the schools now and in the future.
We had a chance to catch up with both of them.
Born in Bangalore, India, Sunil Subbakrishna came to the States at age two when his father’s studies brought him to Chicago. He returned to India with his family at age six, only to come back to the U.S. when he was twelve when he settled settled in Evanston, Illinois with his family.
Sunil received a BA in Music from the Washington University in St. Louis as well as one in Electrical Engineering and Computer Science at the University of Illinois. He then went on to receive an MBA from the University of Chicago in Finance.
Moving to Scarsdale in 1994, just before his oldest started kindergarten, Sunil has a son who went through the Scarsdale schools and is about to graduate Columbia University. He also has a daughter in the eighth grade. Education has always been a big part of his family’s life and that is why he wants to be on the board.
“Like a lot of people, the schools are why we moved here. It’s evident that this community values education. It’s more than just a tax check. It’s important that people are involved and care about the quality of the education and ensure the schools stay excellent.”
Sunil has his own management consulting firm. Before that he worked for several large financial companies including JP Morgan and UBS who placed him in Zurich. In these roles he combined his knowledge of technology and finance, something he plans to focus on as a member of the Board of Education.
As he explains,"I feel like we are at a point now where there is a lot of change in technology. It's a lot of what I consult on and how we can use it (technology) to best stay competitive. That change we are seeing is happening in our schools. It's not just technology involving teaching, but also using technology to include parents in the overall education system. In Scarsdale schools, as a parent, I think they have done a good job adapting and using new technology and are probably stronger than most schools. This is like- think of this - like an Ecosystem. We should make it so evèryone in the ecosystem that is our school can interact with one another."
And while he believes it’s not appropriate to comment on specific issues facing the district at the moment, he can speak broadly to the issues facing Scarsdale schools including class size, tax caps and the looming budget crisis. “These are all issues that will require trade offs. Smaller class sizes will require hiring more teachers and we will have to look at what that means in financial terms. The board will have to be one that is willing to listen and make tough decisions in terms of those trade offs and I think that will be indicative of what we will see on the board in the next few years. Going forward the board will have to find a balance between taxing people and providing quality services.”
For the past few years Subbakrishna has been on the Advisory Council on Technology for Scarsdale Village. On the Council, he helped to guide the Village Treasurer in obtaining a new accounting system program. His advice was key in the town's decision.
Jonathan Lewis was born in Greenwich Village in the late 1960s, but was raised in Great Neck, New York. His roots in school issues go way back. In his senior year of high school, he was a student delegate to the Great Neck Board of Education. Lewis earned a BA at the University of North Carolina at Chapel Hill where he focused on History and International Studies. He was recruited to play trumpet at Chapel Hill as well.
Upon graduation, Jonathan went on to earn an MBA in finance and management of organizations at Columbia University and an MA in history at New York University.
While getting his Masters in Foreign Policy, Jonathan was introduced to Richard Bissel a key figure in the conception and implementation of the Marshall Plan, as well as CIA Deputy Director for Presidents Eisenhower and Kennedy. The two developed a friendship and Jonathan co-authored his memoir, Spy Capitalism which was published by Yale University Press. Working closely with Bissel he says that he grew to understand what makes for good and bad policy decisions. Lewis says that his academic work in this area and knowledge of policy will help him on the board.
He and his wife moved to Scarsdale in large part due to the reputation of the schools, and he has been impressed with the quality of the education. He says that as a potential board member, maintaining this level of excellence will be a challenge in light of the economy.
“My daughter, Hannah, is in the fifth grade at Edgewood Elementary School and my son Steven, is in the ninth grade at the high school. Edgewood has been a great place for both of my children. The school has a warm, community spirit and there are many avenues for children to get involved in sports, explore new ideas and express themselves through the arts. I’ve been very impressed with the careful way the school district prepares families and students for the transitions from elementary school to middle school and then on to high school. Steven had a great experience in the middle school and was well prepared for the start of high school this year.
The quality of the teaching is excellent, and the district remains a thought leader in considering new ways to approach education. The ever-present challenge, which all districts face, will be maintaining this level of excellence in an era of diminished prosperity. Our challenge will be to preserve the qualities and programs that are at the heart of a Scarsdale education while being mindful of the economic challenges we all face as taxpayers.”
Lewis co-founded Samson Capital Advisors seven years ago, where he currently is a member of the executive committee and the chair of the investment committee. He compares building a business to some of the challenges faced by the board.
“When we began business in 2004, we had no clients, and no employees. Today, we manage about $7 billion in conservative investment strategies for private clients, foundations, and not-for-profits and we have over 30 employees and working partners. Building a successful business, creating jobs, and serving clients well has been exciting. As a partner in a privately held company, I am particularly sensitive to the importance of managing our cost structure prudently so that we can build a healthy organization and deliver on the value proposition our clients expect. I would bring this knowledge of business and management to the school board to help insure our district maintains its reputation for prudent financial management during these difficult economic times.
Jonathan explains that education has always been an important part of his life as is community service.
“Through all of my volunteer activities, wherever I have lived, I have tried to do my part for my community. I believe my background as an entrepreneur and academic will help me make a positive contribution to our school district and community. I have a life-long commitment to education and education policy from being a student delegate to the Board of Education in Great Neck when I was growing up, to my work for Yale University Press, teaching at the Scarsdale Young Writers' Conference for many years, and my work with the Phi Beta Kappa foundation.”
Earlier this year, on behalf of Phi Beta Kappa he helped stage an event in Scarsdale that brought educators from Princeton, Columbia, and Yale to a meeting that also included Superintendent McGill and Jill Spieler. The discussion was about the value of the liberal arts and how school districts, universities and Phi Beta Kappa can work together to find a new ways to promote and protect the liberal arts at the high school and college level.
And since, running a business, writing books, and doing community service isn’t enough, Jonathan Lewis has found some time to exercise. When asked to tell us something people would be surprised to learn about him he said:
“For the past five years I have done one to two sprint triathlons a year. Sprint triathlons are short distance events: a half a mile swim in the Long Island Sound, cycling six to tweleve miles, running a few miles. For anyone who has seen me jog in the neighborhood, they can be pretty sure “sprint” is a misnomer in my case. I have a fun time participating, love the swim in the open water, and just like to finish. Knowing that I have an event or two over the summer motivates me to exercise, particularly so I can have a decent finish with my family waiting at the end of the race!"
Jen is a freelance journalist who has covered the economy and markets for over a decade at a major financial news outlet. She lives in Scarsdale with her husband and 2 children. Jen has yet to bake a successful batch of cookies.
Pothole Alert
- Details
- Hits: 4160
If you've been swerving around potholes to avoid getting a flat, you're not alone. According to Deputy Village Manager Steve Pappalardo, village roads are in even worse shape now then they were at this time last year.
He told us that Scarsdale has 91.33 miles of roadway, and 78.81 miles of those roads are Village owned and maintained. On those 78 miles, Scarsdale is in charge of snow and ice removal, paving and potholes.
The regular maintenance schedule calls for repaving of larger arterial and collector roads every 15-25 years, and the repaving of residential roads every 25-35 years. With that schedule in place, many will move in and out of town and never see their road repaved.
According to Pappalardo the potholes are worse this year than last and the Department of Public Works (DPW) is doing what they can to patch them. The DPW has been repairing potholes daily since the asphalt plants opened in mid-February. They focus first on repairing main roadways -- and the Department of Public Works is driving through the Village daily to determine what areas need attention first.
Village budget cuts have reduced available funds to purchase hot asphalt though the staffing is still intact.
If you want to report a pothole to the Village, call the Public Works Department at 722-1150 or email then at: publicworks@scarsdale.com
SBNC Announces Candidates for Board of Education
- Details
- Hits: 4203
The Scarsdale School Board Nominating Committee is pleased to announce that they have selected Jonathan Lewis and Sunil Subbakrishna to run for the Scarsdale Board of Education. These two distinguished members of our community will fill the vacancies of Linda Hillman Chayes and Barbara Kemp, respectively, whose second terms are expiring in 2011.
Jonathan Lewis has been a Scarsdale resident for nine years. Mr. Lewis has a professional background in finance and has authored two books. He is currently the chair of the investment committee at a privately held fixed income company which he co-founded.
Sunil Subbakrishna has been a Scarsdale resident since 1994. Mr. Subbakrishna has a professional background in finance and international business as well as electrical engineering and computer science. He is currently in private practice as a management consultant.
The School Board Nominating Committee was chaired by Michael Pollack and Leanne M. Freda served as Vice Chair.
Foundation Scholarships Make College Dreams a Reality
- Details
- Hits: 3863
Ask any parent of a SHS senior and he or she will tell you what the most popular topic of conversation is these days: college admissions. With college applications at record levels across the country, SHS parents are understandably concerned about whether their children will get into their dream school. But a little discussed subject in Scarsdale – well under the radar screen in a community known for its affluence and high achievement – is a far more basic concern for some of our families: will college be affordable and how much debt will I have to assume to make it happen for my child?
With uneven economic recovery and spiraling tuition costs, more and more Scarsdale families are finding it difficult to send their kids to college. Some families have been hit by unemployment. Others are facing debilitating health setbacks or the death of a parent. Still others are simply living on incomes that are insufficient to cover college tuition and ancillary costs for their children. To send their kids to college, these families often deplete their life savings by dipping into retirement accounts and taking out additional loans.
The Scarsdale Foundation helps these families by providing annual, need-based scholarships to students entering their sophomore, junior, and senior years in college. In 2010, the Foundation awarded $76,000 in scholarship monies to 24 deserving young students. Grants ranged between $1,000 and $5,000 and averaged around $3,200. Many of these students received financial assistance in their first year of college from the SHS PTA Scholarship Fund for College, which provides support for college freshmen.
The students who seek help from the Foundation, all of whom are on financial aid, are pitching in by taking out loans and working during the school year and summers, but they’re still struggling to make ends meet. They are unanimously appreciative of their support, a sentiment that is perhaps best expressed by a 2010 scholarship recipient who wrote, “I want to thank the Scarsdale Foundation for all the assistance and help provided me. This assistance has helped me to focus my time on my studies. The cost of tuition, living expenses, books, etc. are so overwhelming that I do not know how I would have been able to make it this far without the help I have received.”
To continue to serve the Scarsdale community as generously and compassionately as possible, the Scarsdale Foundation is asking community members to consider making a tax-deductible donation to a specially earmarked fund for scholarships. Checks may be mailed to the Foundation at PO Box 542 or donations may be made online at www.scarsdalefoundation.org (donors are urged to specify Scholarships on the Paypal Purpose line.) By contributing to the Scarsdale Foundation’s scholarship program, Scarsdale families can make the dream of college a reality for students who are in need of financial support.
Contributed by Jackie Irwin, President of the Scarsdale Foundation
