What does certificate of occupancy do
For multifamily, what does getting a certificate of occupancy exactly do for the developer or owner of the property? What would the benefits of partial CO's be for a development with multiple smaller buildings - say ten 8-unit buildings that make up an 80-unit property, what's the benefit of getting CO's on each individual building as it leases up prior to construction being completed on another building?
A CO makes occupancy legal, meaning you can rent the unit and make revenue on it. The benefit in your example is simple, you can start leasing up building by building, that maximizes revenues and thus returns. Plus, its much easier to lease/absorb 8 units at a time than 80 all at once (meaning less need to offer lease-up concessions like free rent).
Kind of depends on the market. Generally, it means you can begin leasing. Sometimes there are other steps. In NYC you can get a temporary certificate of occupancy, which basically means that life safety systems are operational and the building is fit to live in, whereas a full CO indicates you've successfully built a building that abides by dept of building codes.
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