Asked and AnsweredI’m selling my co-op tomorrow and my bank attorney has not yet received the stock certificate and proprietary lease from my bank. Will the closing have to be adjourned?
Probably. Unless the pay-off bank attorney receives the stock and lease that the bank is holding as collateral on or before the day of the closing, the closing will have to be adjourned until the collateral documents are delivered to the bank attorney or your bank declares that the stock and lease relative to your apartment can’t be found after a diligent search. When you get a co-op loan, your bank will hold the stock certificate and proprietary lease appurtenant to your shares as collateral. The documents could be in a storage facility anywhere in the country. Accordingly, it is wise to order the stock and lease soon after the contract is signed, as it can take your bank up to 30 days to find and deliver the documents to the their attorneys. If delivery of the stock and lease is not ordered in a timely manner, the closing may be delayed and everyone. That's not good. For more on avoiding closing delays, see "Houston, We've got a Problem".