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Nacmias Law Firm, PLLC

Real Estate

Property Development

We represent NYC developers, sponsors, and investors through every legal phase of a development project — site acquisition, joint ventures, construction contracts, permitting, condo/co-op offering plans, and project close-out — across all five boroughs.

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Overview

What you need to know about Property Development.

The basics, what we do, and the issues we see most.

What legal infrastructure does a NYC development project need?

Quick Answer

NYC development projects sit on an unusually deep legal stack: site acquisition (typically through LLCs), zoning compliance (or relief), construction-finance documentation, GC/CM contracts, mechanic's-lien risk management, condo/co-op offering plans (NY GBL § 352-e for 5+ unit conversions), DOB permitting, and Certificate of Occupancy. The legal posture established at site control determines outcomes years later at TCO/CO.

Services we offer for Property Development.

Development projects compound legal mistakes — a lien risk ignored at GC contract negotiation surfaces at TCO; an offering plan delayed at planning stalls sponsorship sales months. We work with developers, GCs, sponsors, and investors to prevent compounding errors. Here's what we do.

  • Structure site acquisitions through LLCs, joint ventures, and tax-efficient holding entities
  • Negotiate GC, CM, design-build, and architect contracts (AIA, Consensus Docs, custom forms)
  • Coordinate DOB permitting strategy — Plan Examination, controlled inspections, post-completion filings
  • Prepare and submit condo and co-op offering plans to AG (NY GBL § 352-e) for 5+ unit conversions and new construction
  • Manage mechanic's-lien risk under NY Lien Law — payment-bond strategy, lien-discharge motions
  • Coordinate Certificate of Occupancy strategy — TCO, partial COs, final CO timing for funding draws
  • Resolve construction disputes (delay claims, change-order disputes, extra-work claims)

Scenarios we see most.

  • Site acquisition due diligence — title, zoning, environmental, encumbrances, ACRIS recording
  • Joint venture structures — capital contributions, control rights, distribution waterfalls
  • Construction contract negotiation — risk allocation, indemnity, insurance, retainage
  • DOB permitting delays — Plan Examination cycles, OBJ resolution, controlled-inspection scheduling
  • Offering plan submissions to AG for 5+ unit conversions and new construction (NY GBL § 352-e)
  • Mechanic's liens — Lien Law compliance, foreclosure exposure, bonding strategy
  • TCO / CO timing — staged approvals tied to construction-loan draws and sales contracts
  • Project disputes — delay damages, change orders, defective work, payment fights

Who we help

Who we represent.

Every case handled directly by the attorney you speak with at intake.

First-Time Buyers

Co-op and condo closings, board package review, contract negotiation.

Sellers & Investors

Sale contract drafting, title clearance, post-closing matters.

Developers & Sponsors

New-construction sales, offering plans, sponsor unit closings.

Commercial Buyers & Lessors

Commercial purchases, build-out clauses, assignment provisions.

How we handle your case

From summons to resolution.

The same attorney handles your matter from intake through hearing and closeout.

  1. 1

    Step 1 of 5

    Pre-acquisition diligence — zoning, title, environmental, prior C of O history

  2. 2

    Step 2 of 5

    Closing and entity formation — LLC structure, JV documentation, lender coordination

  3. 3

    Step 3 of 5

    Permitting and contract phase — DOB filings, GC/CM negotiation, lien protection

  4. 4

    Step 4 of 5

    Offering plan preparation and AG submission for sponsor sales

  5. 5

    Step 5 of 5

    Project close-out — final CO, lien resolution, common-element transfers

Frequently asked

Questions clients ask first.

Direct answers from the attorney who handles these matters.

Most asked

When do I need an offering plan, and how long does AG review take?

NY GBL § 352-e requires an offering plan — acceptance from the NY Attorney General — for any conversion of a building to condominium or cooperative ownership of 5+ units, and for new construction sold as condos or co-ops. The plan describes the offering, sponsor obligations, building condition, projected operating budgets, and dozens of disclosures. AG review averages 6-12 months from initial submission, with substantial back-and-forth on comments. Plan to start preparation 12-18 months before targeted first sales. Pre-construction filings can save time.

Question 2

What's the difference between a TCO and a final CO, and why does it matter?

A Temporary Certificate of Occupancy (TCO) is issued when a building is substantially complete and safe for occupancy but has outstanding items — typically incomplete punch list, pending sign-offs, or remaining controlled inspections. A final Certificate of Occupancy is the permanent document. TCOs typically last 90 days and require renewal; many projects live on rolling TCOs for months. Construction-loan permanent-financing conversion and sponsor unit-sale closings often require either a final CO or a long-form TCO with no outstanding life-safety items. Mismanaging the TCO/CO timing can stall closings.

Question 3

How does mechanic's lien risk work on NYC projects?

Under NY Lien Law, contractors and subs unpaid on a project can file mechanic's liens against the property within 8 months (commercial) or 4 months (residential) of last labor/materials. Liens cloud title and can block financing, sales, and CO. Typical risk-management tools: lien waivers tied to draw payments, payment bonds (Lien Law § 5), and bond-for-discharge motions to clear liens that surface at sale. Sophisticated projects build full lien-management programs; smaller projects rely on disciplined lien-waiver collection per draw.

Question 4

Do I need a separate LLC for each project?

Standard practice — yes. Project-level LLC isolation contains liability, simplifies financing, and supports clean exit/sale. The structure is typically: project LLC owns the real property, with sponsor/equity members as the project LLC's members; sometimes a parallel construction LLC handles the build. Joint venture deals add layers — admin LLC, GP/LP structures for tax treatment. The structure is best designed at site control, before LOIs/contracts begin to commit.

Question 5

What's a 'sponsor unit' and how does that affect a condo project?

Sponsor units are the units retained by the sponsor (developer) in a condo project — sometimes for sale on a delayed schedule, sometimes for rental. Sponsor units have different rules: typically not subject to board approval for sale (sponsor right of free transferability), often hold special voting rights through residual sponsorship, and have specific tax and offering-plan disclosure obligations. Holding sponsor units for rent in a condo creates HSTPA-driven landlord-tenant exposure that wasn't part of the original development model.

Question 6

What does development-side counsel typically cost?

It varies by project size and structure. Site acquisition for a small development project: $7K-$25K through closing depending on diligence complexity. Construction contract package: $5K-$20K. Offering plan preparation and AG submission: $25K-$75K (excludes architect, engineer, accountant filing fees). Project-wide retainer arrangements available for sponsors with multiple active projects. Free initial scoping conversation.

Guides & resources

Practical references & further reading.

Articles and tools updated as NYC rules change.

View all guides
External

Department of Buildings (DOB)

The Department of Buildings ensures the safe and lawful use of over 1 million buildings and properties in New York City by enforcing the Cit

External

Department of Environmental Protection (DEP)

DEP manages New York City's water supply, wastewater treatment, and environmental protection programs.

Free case review

Development project in motion or planned?

The legal posture set at site control governs outcomes years later. Talk through your project early; small structuring changes have outsized downstream impact. Same-day call back during business hours.

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An attorney reads every message.

  • Same-day response

    During business hours

  • Direct attorney access

    Same lawyer from intake to close

  • Flat-fee pricing

    On most OATH and closing matters