Term 01
No deed, no cost
If the conversion does not result in deeds being distributed to owners, no Hutton fee is due from shareholders or the cooperative. Hutton completes the conversion phases at its own cost and risk before payment is due.
Typical contract terms
A risk-aligned
conversion structure.
These are the core terms described in Hutton's published conversion program. Every project is governed by its executed agreement, cooperative documents, and applicable law.
$0
Upfront Hutton fee
At deed
Typical payment timing
2/3
Typical share approval threshold
Included
Reserve study and approval work
Term 02
A path for every owner
The conversion plan may include a group-loan structure for owners who cannot independently finance or pay their conversion obligation, allowing the obligation to be repaid at sale or refinance without a prepayment penalty.
Term 03
One disclosed fee at deed delivery
Hutton coordinates and pays the professionals required during the process, including attorneys, engineers, and other specialists. Owners pay the disclosed conversion fee when their deed is delivered.
Term 04
Shareholder approval
The published plan is structured as a dissolution of the cooperative and distribution of unit deeds. The required approval threshold depends on the cooperative documents and applicable state law; the typical Hutton plan anticipates approval by two-thirds of shares.
Term 05
Project approval and reserve study
Hutton's published terms include preparation of a reserve study and an application for Fannie Mae project approval, which, if granted, can broaden access to competitive mortgage options.
Project-specific terms
Understand the structure before asking owners to decide
A feasibility conversation can identify the likely obligations, financing path, professional work, and approvals for your building.