The Condo Working Capital Contribution
Summary: Buying in a new NYC condo? On top of the price, you'll likely hand the building a few months of common charges at closing. We read the working capital terms in NYC condo offering plans to show what's typical.
What's Typical
The working capital contribution is a one-time payment at closing, on top of the price, that gives the new condo board a cash cushion. We read the terms in 1,893 NYC condo offering plans. About 73% ask for two months of common charges, about 17% for one month and about 2% for three. About 7% ask for a flat amount per apartment, usually $500 to $1,000.
| 2 months | 73% |
|---|---|
| 1 month | 17% |
| Flat amount | 7% |
| 3 months | 2% |
| 4 or more months | 1% |
Share of 1,893 plans that state a buyer's contribution. The most common flat amounts are $500, $750, $1,000 per unit.
Two months has been the standard for years, as the table by filing year shows: it appears in about 74% of the 884 plans filed since 2022.
| Year plan was filed | Plans | 1 month | 2 months | 3+ months | Flat amount |
|---|---|---|---|---|---|
| 2015 | 58 | 7% | 90% | 3% | 0% |
| 2016 | 51 | 4% | 88% | 2% | 6% |
| 2017 | 69 | 7% | 75% | 7% | 10% |
| 2018 | 97 | 14% | 78% | 0% | 7% |
| 2019 | 92 | 17% | 75% | 2% | 5% |
| 2020 | 127 | 13% | 76% | 5% | 6% |
| 2021 | 201 | 19% | 73% | 3% | 5% |
| 2022 | 210 | 19% | 73% | 4% | 4% |
| 2023 | 166 | 17% | 72% | 2% | 9% |
| 2024 | 190 | 17% | 75% | 3% | 5% |
| 2025 | 247 | 22% | 73% | 1% | 4% |
| 2026 (so far) | 71 | 11% | 85% | 0% | 4% |
Years since 2015 with at least 30 plans.
The catch: it's paid by the buyer at closing, goes to the condo (not the developer), and isn't refundable or credited toward your common charges.
Where It Differs
- Queens is the outlier: about 32% of Queens plans ask for just one month, against 14% to 16% in the other boroughs with enough plans to compare.
- Bigger buildings lean lower: about 25% of plans with 50+ apartments ask for one month, against 11% in buildings under 10 apartments.
- Three months is rare but real: Hendrix House in Kips Bay, The Myles in Chelsea and The Butler Collection in Gowanus all ask for three months.
| Brooklyn | 14% |
|---|---|
| Manhattan | 16% |
| Queens | 32% |
Boroughs with at least 30 plans.
| Borough | Plans | 1 month | 2 months | 3+ months | Flat amount |
|---|---|---|---|---|---|
| Brooklyn | 1,091 | 14% | 75% | 4% | 8% |
| Manhattan | 495 | 16% | 80% | 3% | 2% |
| Queens | 281 | 32% | 54% | 1% | 14% |
Boroughs with at least 30 plans.
| Building size | Plans | 1 month | 2 months | 3+ months | Flat amount |
|---|---|---|---|---|---|
| Under 10 apartments | 886 | 11% | 80% | 3% | 6% |
| 10–49 apartments | 672 | 21% | 67% | 3% | 10% |
| 50+ apartments | 307 | 25% | 68% | 4% | 3% |
How Much to Budget
Your contribution is based on your own apartment's common charges, listed in Schedule A of the offering plan. Some examples:
| Your monthly common charges | 1 month | 2 months | 3 months |
|---|---|---|---|
| $500 | $500 | $1,000 | $1,500 |
| $1,000 | $1,000 | $2,000 | $3,000 |
| $2,000 | $2,000 | $4,000 | $6,000 |
Some plans base it on the estimated common charges in the budget, and a few on the actual charges at the time you close, which may be higher if the budget has been updated.
Working Capital vs. Reserve Fund
They're not the same. The working capital fund is cash on hand for the board to cover startup costs and surprises. The reserve fund is money set aside for long-term repairs, usually built up through a line in the monthly budget. Some plans route part of your contribution into reserves. More in how NYC condos fund their reserves.
Tips for Buyers
- Find it in the plan. Search the offering plan for "working capital" or "initial capital contribution." It's usually in the section on closing costs.
- Read the amendments. Sponsors sometimes change closing costs in later amendments.
- Ask about resales too. Some condos charge a similar contribution when an apartment is resold. Check the bylaws.
- Add it to your closing budget alongside transfer taxes, title insurance and legal fees, which can add up quickly in new development.
See how to read Schedule A and Schedule B and how much common charges should be.
FAQ
What is a working capital contribution in a NYC condo?
A one-time payment from the buyer to the condominium at closing, usually equal to one or two months of common charges, that gives the new board operating cash.
How much is the working capital contribution?
Most often two months of your apartment's common charges. That's the requirement in about 73% of NYC condo offering plans.
Is the working capital contribution refundable?
No. It belongs to the condominium and isn't credited toward your monthly common charges.
Who pays the working capital contribution, buyer or sponsor?
The buyer, at closing. The offering plan explains the amount and how it is calculated.
Where do these figures come from?
From the working capital terms in 1,893 NYC condo offering plans, read as a number of months of common charges or a flat amount per unit. Year is the year the plan was filed. Updated October 2026.
Which plans are counted?
Percentages are of plans that state a buyer's contribution. Plans that describe only the sponsor's contribution are left out.
Related: The Sponsor's Condo-Creation Fee in NYC · New Brooklyn Condos, From the Offering Plans