In the concrete jungle of New York City, space is at a premium. When you are a property owner, it is not just the land and the structure that holds value—air rights can also significantly impact your property. But what exactly are air rights, and what legal implications do they have for property owners?
Understanding air rights
Air rights, also known as “air space rights” or “development rights,” refer to the empty space above your property. You can sell, buy or transfer unused air rights to your neighboring buildings, allowing them to expand vertically beyond the typical zoning restrictions. By doing so, you can also maximize the value of your real estate.
The legal implications
To fully grasp air rights, you need to understand some key legal factors. Here are important points you should know:
- Zoning regulations: NYC’s zoning regulations dictate the maximum height and bulk of buildings in different areas. Understanding these laws is essential before buying or selling air rights.
- Transfer of Development Rights (TDR): Transferring air rights involves complex legal agreements and requires approval from city planning authorities. Consulting a real estate lawyer would be beneficial.
- Easements and covenants: These legal agreements can restrict how the seller and the buyer can use their properties, ensuring that the transaction complies with zoning laws and community standards.
- Impact on property value: Air rights can significantly increase the value of your property. However, selling your air rights might limit your future development options. It is essential to weigh the immediate financial benefits against potential long-term impacts on your property’s value and usability.
Understanding these factors is crucial for making informed decisions about your property.
Maximizing your property’s potential
Air rights can affect everything from development potential to property value, as well as how you and future owners can use the property. Consulting with an experienced real estate lawyer can provide valuable guidance, helping you maximize the benefits of your air rights while complying with all relevant laws and regulations. Doing so lets you make informed choices that align with their long-term goals and interests.