Deadline Nearing to Return Proprietary Lease Ballots

Shareholders have received their ballots to vote for the amendment to the proprietary lease and are being asked to return them as soon as possible.
The amendment would change the current expiration date of the proprietary lease from September 30, 2050 to September 30, 2090.
“Although 42 years is a long period of time until the lease expires, in banking circles it is relatively short,” North Shore Towers attorney Errol Brett explained in a letter to shareholders. “Banks will not give long-term loans [of] 30 or 35 years unless they are assured that the lease will still be in existence at the end of that loan period.”
Ballots were sent out to shareholders in the beginning of October. They can be mailed back to the American Arbitration Association in the pre-paid envelopes or can be put into one of the locked ballot boxes that are in the lobbies of each building.
The Towers has 60 days from the date the ballots were mailed to get four million shares voted. Although the official deadline is December 3 to return votes, shareholders are being encouraged to send their ballots back as soon as possible.
“Please make sure you get your ballot in,” Board member Phyllis Goldstein, who is spearheading the efforts, said at the October 15 open Country Club meeting.
During the last to Board of Directors elections, an amendment to extend the proprietary lease appeared on ballots but failed to pass either time. However, it was not actually defeated. Instead, it failed to get the required 2/3s vote that was needed.
In a letter printed in the October 2008 issue of The Courier, Board President Bob Ricken wrote, “Passing the amended proprietary lease is the unanimous recommendation of your Board of Directors.”
“The failure to extend the lease will prevent, in the next few years, people from selling their apartments, or getting home equity loans, because the banks will not lend on what they consider a short-term lease,” Brett wrote. “In addition, people will not be anxious to buy even if they are buying [for] all cash for fear that somewhere down the road they will not be able to sell the apartment.”
Anyone who needs a new ballot or needs assistance finding out how many shares they have can contact Goldstein in Building One, Helen Bader in Building Two or Chuck Robbins in Building One.