Building debt & maturity · 4 source passages
PDF page 44 · effective period must be checked in the document
8
Depreciation expense for the years ended December 31, 2024, and 2023 was $199,084
and $194,143, respectively.
NOTE 4 MORTGAGE NOTE PAYABLE
On September 13, 2018, the Corporation obtained a first mortgage loan in the amount of
$6,000,000 from New York Community Bank (“NYCB”). The proceeds were used to
refinance the existing mortgage loan with National Cooperative Bank (“NCB”) and to
repay an outstanding line of credit. The mortgage bears interest at a fixed rate of 4.25%
per annum and requires monthly payments of principal and interest of $29,516, based on
a 30-year amortization schedule. The loan matures on December 1, 2029.
The loan permits partial prepayments and includes a prepayment penalty ranging from
100% to 105% of the outstanding principal balance at the time of full prepayment,
depending on the timing. The mortgage is secured by the land and building owned by the
Corporation.
As part of the refinancing arrangement, the Corporation a
PDF page 45 · effective period must be checked in the document
80 WINTHROP STREET OWNERS’ CORP.
(A Cooperative Housing Corporation)
Notes to Financial Statements
December 31, 2024
NOTE 4 MORTGAGE NOTE PAYABLE (Continued)
Mortgage payable less unamortized mortgage costs as of December 31, 2024, and 2023
are as follows:
2024 2023
Mortgage Payable $ 5,302,044 $ 5,427,986
Unamortized Mortgage Costs (80,016) (101,839)
Mortgage Payable – Net of Unamortized Mortgage
Costs
$ 5,222,028 $ 5,326,147
The approximate annual principal payments for the next five years are as follows:
Years Ending
December 31, Amount
2025 $ 131,400
2026 137,100
2027
2028
2029
143,000
149,000
4,741,544
NOTE 5 PROPERTY MANAGING AGENT AGREEMENT
The Corporation engaged New Bedford Management Corp, Inc to manage the property.
The agreement provides for the property managing agent to be
PDF page 59 · effective period must be checked in the document
8
Depreciation expense for the years ended December 31, 2025, and 2024 was $217,314
and $199,084, respectively.
NOTE 4 MORTGAGE NOTE PAYABLE
On September 13, 2018, the Corporation obtained a first mortgage loan in the amount of
$6,000,000 from New York Community Bank (“NYCB”). The proceeds were used to
refinance the existing mortgage loan with National Cooperative Bank (“NCB”) and to
repay an outstanding line of credit. The mortgage bears interest at a fixed rate of 4.25%
per annum and requires monthly payments of principal and interest of $29,516, based on
a 30-year amortization schedule. The loan matures on December 1, 2029.
The loan permits partial prepayments and includes a prepayment penalty ranging from
100% to 105% of the outstanding principal balance at the time of full prepayment,
depending on the timing. The mortgage is secured by the land and building owned by the
Corporation.
As part of the refinancing arrangement, the Corporation a
PDF page 60 · effective period must be checked in the document
80 WINTHROP STREET OWNERS’ CORP.
(A Cooperative Housing Corporation)
Notes to Financial Statements
December 31, 2025
NOTE 4 MORTGAGE NOTE PAYABLE (Continued)
Mortgage payable less unamortized mortgage costs as of December 31, 2025, and 2024
are as follows:
2025 2024
Mortgage Payable $ 5,159,441 $ 5,302,044
Unamortized Mortgage Costs (58,193) (80,016)
Mortgage Payable – Net of Unamortized Mortgage
Costs
$ 5,101,248 $ 5,222,028
The approximate annual principal payments for the next five years are as follows:
Years Ending
December 31, Amount
2025 $ 131,400
2026 137,100
2027
2028
2029
143,000
149,000
4,741,544
NOTE 5 PROPERTY MANAGING AGENT AGREEMENT
The Corporation engaged New Bedford Management Corp, Inc to manage the property.
The agreement provides for the property managing agent to b
Reserves & financial health · 8 source passages
PDF page 37 · effective period must be checked in the document
findings, and certain internal control related matters that
we identified during the audit.
Omission of Required Supplementary Information about Future Major Repairs and Replacements
As discussed in Note 12, 80 Winthrop Street Owners’ Corp. has omitted the supplementary information on future
major repairs and replacements that accounting principles gene rally accepted in the United States of America
require to be presented to supplement the basic financial statements. Such missing in formation, although not a
part of the basic financial statements, is required by the Financial Accounting Standards Board, which considers
it to be an essential part of finan cial reporting and for pla cing the basic financial s tatements in an appropriate
operational, economic, or historical context. Our opinion on the basic financial statements is not affected by this
missing information.
Lake Success, New York
May 5, 2025
PDF page 43 · effective period must be checked in the document
the
financial statements were available to be issued.
NOTE 2 CASH AND CASH EQUIVALENTS
The Corporation maintained its operating and reserve funds in accounts held with
Webster Financial, which merged with Sterling Bancorp. This banking relationship was
in effect for the years ended December 31, 2024, and 2023. At December 31, 2024, and
2023, the balances held in these accounts were as follows:
2024 2023
Operating Account $ 205,931 $ 269,787
Prepaid Card 644 2,917
Water, Real Estate & Insurance Escrow 298,822 328,831
Reserve 915,164 877,217
Premium Business Money Market - Assessment 1,106,717 1,048,904
PPP Funds 0 95,947
Mortgage Funding – NYCB Bank 93,596 93,416
$ 2,620,874 $ 2,717,019
- 8 -
PDF page 47 · effective period must be checked in the document
poration
collected $9,501 and $7,692, respectively, in flip tax revenue.
Proceeds from the flip tax are generally used to support the Corporation’s working capital
or may be transferred to reserves at the discretion of the Board of Directors.
NOTE 10 LEGAL
The Corporation is a defendant in an ongoing lawsuit involving a construction worker
employed by MSR Construction who was injured on the premises while performing
renovation work. The plaintiff is alleging traumatic brain, lumbar, cervical, and shoulder
injuries. The Corporation maintains that it neither directed nor controlled the plaintiff’s
work and had no knowledge of any unsafe conditions.
The Corporation's legal counsel has advised that, in the event of an unfavorable jury
verdict, potential liability could range from $800,000 to $1,125,000 if the Corporation is
found to be 100% at fault. The Corporation maintains general liability insurance coverage
of $1,000,000 per occurrence and $2,000,000 in the aggregate.
As
PDF page 48 · effective period must be checked in the document
re needed to meet future needs for
major repairs and replacements, the Corporation has the right to make expenditures from
the capital improvements reserve fund, to increase regular assessments, pass special
assessments, or delay major repair and replacements until funds are available. The
effect on future assessments has not been determined at this time.
- 13 -
PDF page 52 · effective period must be checked in the document
findings, and certain internal control related matters that
we identified during the audit.
Omission of Required Supplementary Information about Future Major Repairs and Replacements
As discussed in Note 12, 80 Winthrop Street Owners’ Corp. has omitted the supplementary information on future
major repairs and replacements that accounting principles gene rally accepted in the United States of America
require to be presented to supplement the basic financial statements. Such missing in formation, although not a
part of the basic financial statements, is required by the Financial Accounting Standards Board, which considers
it to be an essential part of finan cial reporting and for pla cing the basic financial s tatements in an appropriate
operational, economic, or historical context. We have applied certain limited pro cedures to the required
supplementary information in accordance with auditing standards generally accepted in the United States of
America, which consiste
PDF page 58 · effective period must be checked in the document
the
financial statements were available to be issued.
NOTE 2 CASH AND CASH EQUIVALENTS
The Corporation maintained its operating and reserve funds in accounts held with
Webster Financial, which merged with Sterling Bancorp. This banking relationship was
in effect for the years ended December 31, 2025, and 2024. At December 31, 2025, and
2024, the balances held in these accounts were as follows:
2025 2024
Operating Account $ 251,809 $ 205,931
Prepaid Card 349 644
Water, Real Estate & Insurance Escrow 227,152 298,822
Reserve 953,888 915,164
Premium Business Money Market - Assessment 958,116 1,106,717
Mortgage Funding – NYCB Bank 64,260 93,596
$ 2,455,574 $ 2,620,874
- 8 -
PDF page 62 · effective period must be checked in the document
poration collected $10,932 and $9,501, respectively, in flip tax revenue.
Proceeds from the flip tax are generally used to support the Corporation’s working capital
or may be transferred to reserves at the discretion of the Board of Directors.
NOTE 10 LEGAL
The Corporation is a defendant in an ongoing lawsuit involving a construction worker
employed by MSR Construction who was injured on the premises while performing
renovation work. The plaintiff is alleging traumatic brain, lumbar, cervical, and shoulder
injuries. The Corporation maintains that it neither directed nor controlled the plaintiff’s
work and had no knowledge of any unsafe conditions.
The Corporation's legal counsel has advised that, in the event of an unfavorable jury
verdict, potential liability could range from $800,000 to $1,125,000 if the Corporation is
found to be 100% at fault. The Corporation maintains general liability insurance coverage
of $1,000,000 per occurrence and $2,000,000 in the aggregate.
As
PDF page 63 · effective period must be checked in the document
re needed to meet future needs for
major repairs and replacements, the Corporation has the right to make expenditures from
the capital improvements reserve fund, to increase regular assessments, pass special
assessments, or delay major repair and replacements until funds are available. The
effect on future assessments has not been determined at this time.
- 13 -
Assessments & charge increases · 2 source passages
PDF page 39 · effective period must be checked in the document
the Years Ended December 31, 2024 2023
Income
Regular Maintenance $ 1,771,932 $ 1,729,427
Special Assessments 98,216 96,093
Interest and dividend income 57,936 52,143
Sublet fees 28,895 32,059
Laundry income 16,800 16,800
Legal fees 4,003 11,363
Flip tax 9,501 7,692
Miscellaneous income 24,132 13,538
Total Income 2,011,415 1,959,115
Expenses
Real estate taxes 396,955 377,607
Payroll Expenses 295,870 304,099
Mortgage Interest 228,255 252,710
Noncash Interest Expense 21,823 21,823
Repairs and Maintenance 181,019 152,630
Gas, Electric, and fuel 105,544 102,570
Water and sewer 55,759 53,250
Professional fees 21,391 55,107
Insurance 244,421 227,603
Property Management 52,668 50,400
Telephone 5,325 5,148
Miscellaneous 10,199 14,907
Corporate taxes 3,655 3,708
Total Expenses 1,622,884
PDF page 54 · effective period must be checked in the document
cember 31, 2025 2024
Income
Regular Maintenance $ 1,829,703 $ 1,771,932
Special Assessments 105,118 98,216
Interest and dividend income 47,885 57,936
Sublet fees 28,170 28,895
Laundry income 11,200 16,800
Legal fees 952 4,003
Flip tax 10,932 9,501
Miscellaneous income 44,039 24,132
Total Income 2,077,999 2,011,415
Expenses
Real estate taxes 406,703 396,955
Payroll Expenses 287,568 295,870
Mortgage Interest 240,659 228,255
Noncash Interest Expense 21,823 21,823
Repairs and Maintenance 170,949 181,019
Gas, Electric, and fuel 132,291 105,544
Water and sewer 99,908 55,759
Professional fees 35,912 21,391
Insurance 254,731 244,421
Property Management 52,668 52,668
Telephone 5,485 5,325
Miscellaneous 6,741 10,199
Corporate taxes 3,786 3,655
Total Expenses 1,719,224 1,6
Resale fees & restrictions · 5 source passages
PDF page 7 · effective period must be checked in the document
8
90,938.08401-001 Operating Assessment
Operating Assessments 90,938.08
16,800.00410-006 Laundry Room
Amenity Income 16,800.00
26,666.76420-010 Lease/Sublet Fee
Fees, Fines, and Violations 26,666.76
Total Income 2,041,621.72
Expenses
23,390.28500-001 Elevator Maintenance
200.00500-002 Heating/Cooling Maint (HVAC)
1,642.76500-004 Sprinkler/Fire/Alarm Monitor
14,317.68500-005 Exterminator
2,057.74500-009 Compactor Contract
Maintenance & Repairs 41,608.46
30,000.00510-004 Plumbing Repairs
4,000.00510-005 Electric Repairs
4,000.00510-006 Door & Lock Repair
13,000.00510-026 Landscaping/Grounds
37,362.22510-999 Misc General Repairs
Repairs 88,362.22
PDF page 39 · effective period must be checked in the document
Income
Regular Maintenance $ 1,771,932 $ 1,729,427
Special Assessments 98,216 96,093
Interest and dividend income 57,936 52,143
Sublet fees 28,895 32,059
Laundry income 16,800 16,800
Legal fees 4,003 11,363
Flip tax 9,501 7,692
Miscellaneous income 24,132 13,538
Total Income 2,011,415 1,959,115
Expenses
Real estate taxes 396,955 377,607
Payroll Expenses 295,870 304,099
Mortgage Interest 228,255 252,710
Noncash Interest Expense 21,823 21,823
Repairs and Maintenance 181,019 152,630
Gas, Electric, and fuel 105,544 102,570
Water and sewer 55,759 53,250
Professional fees 21,391 55,107
Insurance 244,421 227,603
Property Management 52,668 50,400
Telephone 5,325 5,148
Miscellaneous 10,199 14,907
Corporate taxes 3,655 3,708
Total Expenses 1,622,884 1,621,562
Income before Depreciation 388,531 337,553
Depreciation
PDF page 47 · effective period must be checked in the document
80 WINTHROP STREET OWNERS’ CORP.
(A Cooperative Housing Corporation)
Notes to Financial Statements
December 31,2024
NOTE 9 TRANSFER FEES
The Corporation imposes a transfer fee, commonly referred to as a “flip tax,” on the sale
of apartments by shareholders. The fee ranges from 1% to 7% of the shareholder’s profit
on the sale, depending on the length of ownership. Flip tax income is recognized at the
time of transfer. For the years ended December 31, 2024, and 2023, the Corporation
collected $9,501 and $7,692, respectively, in flip tax revenue.
Proceeds from the flip tax are generally used to support the Corporation’s working capital
or may be transferred to reserves at the discretion of the Board of Directors.
NOTE 10 LEGAL
The Corporation is a defendant in an ongoing lawsuit involving a construction worker
employed by MSR Construction who was injured on the premises while performing
renovation work. The plaintiff is alleging traumatic brain, lumbar, cervical, and sho
PDF page 54 · effective period must be checked in the document
Maintenance $ 1,829,703 $ 1,771,932
Special Assessments 105,118 98,216
Interest and dividend income 47,885 57,936
Sublet fees 28,170 28,895
Laundry income 11,200 16,800
Legal fees 952 4,003
Flip tax 10,932 9,501
Miscellaneous income 44,039 24,132
Total Income 2,077,999 2,011,415
Expenses
Real estate taxes 406,703 396,955
Payroll Expenses 287,568 295,870
Mortgage Interest 240,659 228,255
Noncash Interest Expense 21,823 21,823
Repairs and Maintenance 170,949 181,019
Gas, Electric, and fuel 132,291 105,544
Water and sewer 99,908 55,759
Professional fees 35,912 21,391
Insurance 254,731 244,421
Property Management 52,668 52,668
Telephone 5,485 5,325
Miscellaneous 6,741 10,199
Corporate taxes 3,786 3,655
Total Expenses 1,719,224 1,622,884
Income before Depreciation and Other Items 358,775 388,531
Gain On
PDF page 62 · effective period must be checked in the document
80 WINTHROP STREET OWNERS’ CORP.
(A Cooperative Housing Corporation)
Notes to Financial Statements
December 31,2025
NOTE 9 TRANSFER FEES
The Corporation imposes a transfer fee, commonly referred to as a “flip tax,” on the
sale of apartments by shareholders. The fee ranges from 1% to 7% of the shareholder’s
profit on the sale, depending on the length of ownership. Flip tax income is recognized
at the time of transfer. For the years ended December 31, 2025, and 2024, the
Corporation collected $10,932 and $9,501, respectively, in flip tax revenue.
Proceeds from the flip tax are generally used to support the Corporation’s working capital
or may be transferred to reserves at the discretion of the Board of Directors.
NOTE 10 LEGAL
The Corporation is a defendant in an ongoing lawsuit involving a construction worker
employed by MSR Construction who was injured on the premises while performing
renovation work. The plaintiff is alleging traumatic brain, lumbar, cervical, and sh