This term pertains to shares in a co-operative apartment building that have not been sold to shareholders (owners of individual apartments). These shares (apartments) remain as assets of the co-operative sponsor. When a building is converted from a rental property to a co-operative apartment building, there are almost always rental tenants who do not wish to purchase their apartments, but would rather remain in the apartments and continue to pay the sponsor rent (as opposed to the maintenance charges on the apartment). These shares remain 'unsold' until the tenant either changes his/her mind on purchasing the apartment, the tenant moves out of the building, the sponsor offers the tenant a monetary sum or incentive so that he/she moves. Another scenario facing a sponsor is one in which market conditions prohibit the sponsor from selling the unsold shares at a profit margin that he deems financially acceptable. In such a case, the sponsor may rent out these apartments for a period of time until the market shifts in favor of selling the units at a profitable margin.
Utilities Included:
In some buildings you will find that Electric and Gas (sometimes Cable TV) is included in the monthly maintenance charges.
