To All Amberland Co-op Shareholders:
Considering recent shareholder concerns and commentary shared within the community, the Board of Directors would like to take this opportunity to respond directly, transparently, and constructively. Our intent is to provide accurate information, clarify any misunderstandings, and reinforce our commitment to the responsible management of Hudson Woods/Amberlands Co-op. While we value all shareholder input and understand that frustrations may arise, we believe it is important to provide context and facts around several recent topics of discussion:
1. Assessment of $5 Per Share
The monthly assessment of $5 per share was a necessary and carefully considered response to an unforeseen increase in insurance costs. As communicated at the October 2024 special shareholder meeting and the annual shareholder meeting in April of 2025, our long-standing insurance carrier abruptly discontinued coverage, forcing us to secure a new policy at 3.5 times the previous cost to maintain compliance with our mortgage lender.
Additionally, the lender placed a temporary "Forced insurance" policy on the property, for which we are still negotiating the final financial obligation. Our accountant and attorney have advised that the $5/share monthly assessment is a reasonable estimate based on current projections. This assessment will allow us to be in a stronger financial position at the time that the bank provides the final figures for the lender placed insurance coverage. The board, attorney, accountant and management team are working diligently to ensure that all financial obligations are met. To calculate your total monthly assessment cost, multiply the number of shares allocated to your unit by $5.00, then divide the result by 12.
2. Refinancing Practices
Claims that the co-op has refinanced its mortgage every two years are incorrect. Historically, we have refinanced approximately every ten years, or earlier when market conditions present favorable opportunities to reduce borrowing costs and support long-term financial health.
As of today, the co-op holds a mortgage with a competitive interest rate of 4.74%, which compares favorably against current market rates. The current principal balance is $3,847,382. All refinancing activities, as well as the allocation and use of proceeds, are reported annually in our audited financial statements, which are made available to all shareholders.
3. Management Turnover and Communication
The Board is held accountable through regular elections and ongoing shareholder feedback. To ensure consistency, documentation, and privacy, all shareholder inquiries and concerns should be directed to the managing agent.
The claim that four different management companies have been employed over the past six years is inaccurate. There have been four different on-site representatives over the past four years. These changes corresponded with transitions between management firms—first from Associa to Sequoia, and most recently to Westchester Property Management Group. On-site representatives are employees of the management company, not of the co-op, and changes in personnel are standard when firms are changed or restructure staffing.
4. Maintenance Increases and Capital Assessment
The approved maintenance increase for 2025 was 20%. However, due to an initial billing oversight, only a 15% increase was reflected in January. This was corrected in February with a 5% adjustment to bring the total to the intended 20%. This was not a separate increase, but an administrative correction.
Regarding the capital assessment, this was introduced as a temporary measure to address the financial impact of the lender’s forced insurance policy. This is not a “loan,” but rather a proactive and prudent step to ensure the co-op remains financially stable while final insurance-related obligations are resolved. Once the final amount is confirmed with the lender, the board will update the community accordingly. Please note, this assessment was not intended to impact the STAR rebate. It was a necessary measure to maintain insurance coverage as required by the lender for the underlying mortgage, and to prevent a potential default.
5. Transparency and Financial Reporting
We remain firmly committed to transparency and compliance. Audited financial statements are prepared annually by a certified public accountant and shared with shareholders, typically in conjunction with the annual meeting.
As noted during this year’s shareholder meeting, the 2024 financial statement has been delayed due to outstanding documentation from our mortgage provider. We will release the report as soon as all the required information is received and the audit is complete.
The board continues to disclose all financial information required by law and is open to constructive dialogue.
Moving Forward.
The Board is composed of volunteer shareholders who donate their time to serve the best interests of the community. If you are dissatisfied with board decisions or the direction of the co-op, we encourage you to get involved. Run for a board seat, attend meetings, and take an active role in shaping our future. The strength of our co-op depends on the participation and engagement of its members.
We thank all shareholders for their continued support and commitment to Hudson Woods/Amberlands.
Sincerely,
Hudson Woods Estates / Amberland Co-op Board of Directors
