Can Sponsors Employ Their Own Managers?
NY Times, Sunday, March 23, 2008, by Jay Romano
quote
Q In a co-op, must the managing agent for the co-op and sponsor-owned apartments be the same?
A “This is an interesting question because it may seem, in practice, that the law on the issue is ignored,” said Andrew Brucker, a Manhattan co-op and condo lawyer. He said that under a section of New York State’s General Business Law addressing issues governing the conversion of rental buildings to co-ops, all apartments occupied by nonpurchasing tenants must be managed by the same agent who manages all the other apartments in the building.

unquote

In point of fact, HarryM, in my interpretation, is not suggesting two managers for day-to-day operations of the co-op. In point of fact, the building manager (one only) supports all “owners”. In this case there are shareholders who own and occupy and there are owners who by virtue of a contract (by-law perhaps) are allowed to lease (rent).

The coop has one manager for the entire property, regardless of who owns.

If one is suggesting that the owner / sponsor has a separate set of operating rules, maintenance, rules and regulations, etc. then I would agree that the duality is not allowed.

But if all are bound by the same by-laws, proprietary lease, house rules, etc, albeit the owner / sponsor imposes additional restrictions which the owner/ sponsor enforces on renters, then I agree there in no conflict.