MINIMUM SALES PRICE POLICY

                The Board of Directors of United Veterans Mutual Housing Company, Inc. has passed a minimum sales price policy for the sale of all shares and proprietary leases at Bell Park Manor Terrace, which will be effective December 1, 2010.  All sales packages submitted on or after December 1, 2010 must comply with this policy.

            This policy is meant to protect ALL shareholders and to help maintain the value of the co-op apartments at Bell Park Manor Terrace.  A minimum sales price is in place to maintain the stability of the corporation by keeping the value of the shares in line with market values.  By doing so, banks will feel more comfortable lending to potential buyer’s knowing that the corporation shares will be stable.

            The minimum sale prices is designed to prevent banks and other owners from dumping apartments on the market at distress (below market) sales prices creating havoc and harm to the property values and community at large.  The intent of the policy is NOT to create artificial prices but to protect the community from the devastating impact distress sale apartments can have on our community.  Unfortunately many shareholder’s that have not updated their apartments may see their apartments stay on the market longer than expected as updated apartments will most likely sell quicker. 

            The policy is as follows: Four (4) times a year minimal sales price shall be calculated and published by the Board of Directors.  The calculation shall take the average of the last 5 sales (closed) for each unit type, and subtracting 5% from that amount.  The minimum sales prices currently in effect are attached to this page.

            Reductions in the minimum sales price may be granted by sole discretion of the Board of Directors on a case by case basis, if a hardship and good cause is shown by the selling shareholder.  The seller must be able to demonstrate that a good faith effort was made to sell the apartment above the minimum sales price but was unable to do so or that extenuating factors exist beyond the sellers’ control that would preclude the apartment from being sold at or above the minimum sales price.  A hardship application must be made by the seller to the Board of Directors for consideration by the Board.  All Shareholders are expected to maintain their apartments in a good, clean and safe condition and if a Seller fails to do so, that unit will not be eligible for a hardship application.  In addition, all maintenance arrears and any other open balances must be settled with the co-op prior to any waiver being considered.

A schedule of current minimum sales prices in effect at any given time is always available at the management office.  Be advised that most recent apartment sales at Bell Park Manor Terrace have been sold for prices substantially higher than the minimum sales price.