Can My Co-op Charge Me Extra for Renting Out My Unit?

Q: I bought a co-op apartment in Queens about 35 years ago and I’ve been renting it out. About 15 years ago, the co-op imposed a 10 percent surcharge on the maintenance fees for apartments that are rented out. That increased to 20 percent about five years ago. Should my apartment have been grandfathered in, exempting it from the surcharge? Does a co-op even have the right to impose this extra fee? The board claims that the co-op does have the authority, but isn’t it discriminatory to apply the maintenance surcharge only to nonresident owners?

A: A co-op board has wide latitude to operate in the best interests of the building and the shareholders under the business judgment rule. However, you should check your governing documents to see what they say about subletting.

Even if the board is within its rights, that doesn’t necessarily mean you should be paying 20 percent.