N.Y. Comp. Codes R. & Regs. tit. 14, § 635-6.5 – Costs of co-operative (see glossary, Subpart 635-99 of this Part) ownership of real estate.

(a) If an agreement to purchase membership or ownership interest in a co-operative, which agreement has been approved by OPWDD and the New York State Division of Budget, is between the provider or an individual and a party which is not a related party, allowable costs shall be the lesser of the actual purchase price or the price of a membership or ownership interest in a co-operative for real estate with similar functions in the same geographic area.
(b) If an agreement to purchase membership or ownership interest in a co-operative, which agreement has been approved by OPWDD and the New York State Division of Budget, is between the provider or an individual and a related party, allowable costs for such purchase shall be the least of:
1. (1) the actual purchase price;
2. (2) the price of membership or ownership interest in a co-operative with similar functions in the same geographic area; or
3. (3) the co-operative's costs attributable to the provider or individual.
(c) The allowable cost of purchasing membership or ownership interest in a co-operative shall be amortized over 15 years, or the term of the mortgage given by the provider or individual, whichever is greater.