From the October issue: In a city where so many strangers share cramped quarters, is discrimination ever justified in hunting for a roommate? That’s the question before a federal appeals court in Pasadena, Calif., and real estate insiders say the court’s decision could affect how roommate listings operate here.

The case dates back to 2003, when two branches of the nonprofit Fair Housing Council sued the classifieds website Roommate.com over features that, among other things, required users to disclose their gender, sexual orientation and family status. The site then let users filter roommates based on the same traits, which are protected by 1968’s Federal Fair Housing Act or, in the case of sexual preference, by California’s housing law. [more]

From the August issue: In order to complete real estate transactions in New York’s still-tough lending climate, some lawyers are turning to creative loopholes that have them operating in an ethical gray area, industry insiders say.
Boilerplate contracts — once the norm in residential transactions — have been scarce for several years now as lawyers come up with deals “tailored” to the specific needs of buyers and sellers. But some lawyers are now going even further to avoid strict lending rules, adding contract riders that are not submitted to banks. Other buyers and sellers simply make private side agreements that are not mentioned in any of the closing documents.
“People often do this as a way to encourage lenders to lend more money than they ordinarily would have,” said Aaron Shmulewitz, an attorney at Belkin Burden Wenig & Goldman who has represented more than 250 cooperative and condominium boards in New York. “It gets close to bank fraud sometimes.” [more]

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From the June issue: Here is a quick test for the entrepreneurially inclined: Open the front door of your apartment, peer down the hallway, and then take a slow, observant walk up to the roof. What exactly do you see? For most, the answer will be dusty linoleum, mass-produced Swedish light fixtures or, for the unfortunate few, a rickety staircase. A select few, however, will see revenue — possibly tens of thousands of dollars — that could help fill the coffers of their co-ops or condominiums.
When a building on Spring Street and Sixth Avenue was torn down a few years ago and turned into a parking lot, a neighboring co-op with its exterior wall newly exposed to the street saw an opportunity. The shareholders of the co-op got together and decided to sell their newfound space to advertisers. The result: $40,000 a year in additional revenue. [more]

From the November issue: In post-Madoff, post-Lehman Brothers New York, co-op and condo boards
are taking a turn as gumshoes. Experts say buildings are now conducting
increasingly extensive, and often costly, background checks of
prospective buyers. The investigations include everything from
reviewing litigation history — to see whether the buyer has been
involved in a lawsuit — to searching sex-offender registries. And to
make sure prospective neighbors are properly vetted, more boards are
now hiring private detective agencies. Andrew Harris, CEO of the 110-year-old, Manhattan-based
investigative firm Bishops Services, said he’s seen an uptick in
business recently from residential buildings, and that clients are now
requesting more in-depth searches.
[more]