AI Generated Party Wall Agreement for use in the United States
PDF & Word - 2026 Updated

This Agreement is made on the 15th day of January 2024 between the Building Owner and the Adjoining Owner.

The Building Owner is the owner of the property located at 123 Main Street, New York, New York 10001.

The Adjoining Owner is the owner of the property adjacent to the Building Owner's property sharing the Party Wall.

A Party Wall currently exists between the properties of the Building Owner and the Adjoining Owner.

The purpose of this Agreement is to outline the terms for sharing and maintaining the Party Wall between two adjacent properties during planned renovations.

The parties wish to define their respective rights and obligations with respect to the Party Wall in accordance with New York law, including the Real Property Actions and Proceedings Law (RPAPL) Article 15 and common law principles applicable to party walls in New York.

Both parties acknowledge that they have had the opportunity to seek independent legal advice prior to executing this Agreement.

In this Agreement the following terms shall have the meanings assigned to them unless the context requires otherwise.

Adjoining Owner means the owner of the property or land that shares a common boundary with the Building Owner's property.

Notifying Party means the party who is initiating the proposed works and is required to notify the Adjoining Owner under this agreement.

Scope of Works means the works described in Section 2.9 of this Agreement.

Surveyor means a licensed professional qualified to conduct surveys and provide expert opinions on boundary and structural matters related to the Party Wall, in accordance with New York law.

The definitions in this Agreement take effect from January 15, 2024.

Party Wall means the wall described in Section 3 of this Agreement.

Building Owner means the party initiating works on the Party Wall under this Agreement.

Scope of Works: The Building Owner intends to reinforce the Party Wall by adding steel beams to support a new second-story extension on the Building Owner's property. This includes excavation within 3 feet of the boundary, structural alterations, and related improvements. The works shall be carried out in accordance with the drawings and plans prepared by licensed New York architects and engineers, dated February 1, 2024, specifically identified as Drawing Nos. PW-01 through PW-05, and specifications attached hereto as Exhibit A. The timeline for the works is as follows: commencement on or after June 1, 2024, with substantial completion targeted for December 31, 2024, subject to extensions for Force Majeure or delays caused by the Adjoining Owner. The Building Owner shall obtain all necessary permits and approvals from the New York City Department of Buildings (NYC DOB), including but not limited to a building permit under the New York City Building Code (particularly Chapter 33 on safeguards during construction). All works shall comply with applicable New York City zoning regulations, the New York City Building Code, New York State Real Property Law, and common law principles for party walls. The parties acknowledge that the works must not violate any covenants, restrictions, or environmental regulations applicable to the properties.

The Party Wall is constructed of red brick, stands 10 feet high, and runs 30 feet in length along the shared boundary.

The Party Wall is located on the boundary line between the properties of the Building Owner and the Adjoining Owner.

The length of the Party Wall is 30 feet.

The height of the Party Wall is 10 feet.

The thickness of the Party Wall is 8 inches.

The primary material used in the construction of the Party Wall is brick.

The current condition of the Party Wall is good.

The Party Wall is load-bearing.

There are no existing encumbrances, easements, or prior agreements affecting the Party Wall, other than as provided in this Agreement.

The Building Owner and Adjoining Owner hold joint ownership interests in the Party Wall consistent with New York common law and RPAPL Article 15.

Each owner has the right to use the Party Wall for supporting their respective building structures, subject to the terms of this Agreement and New York law.

Each owner has the right to inspect the Party Wall upon reasonable notice to the other owner.

Either owner has the right to repair or rebuild the Party Wall if it becomes damaged, with costs allocated as provided in this Agreement and in accordance with New York law.

There are no existing encumbrances, liens, or easements affecting the owners' rights in the Party Wall, other than as provided herein.

The Building Owner shall serve formal written notice (Notice of Intent to Perform Work on Party Wall) to the Adjoining Owner at least 30 to 90 days in advance of commencing any works, in accordance with New York practices under RPAPL Article 15 and common law. The notice shall include detailed plans, specifications, and the proposed timeline.

The Adjoining Owner has the right to appoint their own surveyor within 14 days of receiving the notice. The surveyors shall confer and prepare a surveyor's report or agreement detailing the scope, methods, and protections for the works.

If the Adjoining Owner dissents or fails to respond, or if the surveyors cannot agree, a third surveyor shall be appointed jointly or by a New York court upon application under RPAPL. The decision of the third surveyor shall be binding unless appealed in accordance with New York law.

The Building Owner shall obtain any necessary license for access to the Adjoining Owner's property and shall provide temporary protections, shoring, and weatherproofing as required by the New York City Building Code (Chapter 33) and this Agreement.

The Building Owner plans to undertake construction, alteration, repair, or modification to the Party Wall as described in the Scope of Works (Section 2.9).

The proposed construction, alteration, repair, or modification to the Party Wall consists of reinforcing the Party Wall by adding steel beams to support a new second-story extension on the Building Owner's property, all in compliance with New York City Building Code and RPAPL Article 15.

The Building Owner anticipates starting the work on the Party Wall on or after June 1, 2024, following all required notices, permits, and surveyor agreements.

Mutual consent, as evidenced by this Agreement or surveyor award, is required for any modifications to the Party Wall by either the Building Owner or the Adjoining Owner.

The Building Owner shall obtain all necessary permits and approvals from the New York City Department of Buildings (NYC DOB), New York State agencies, and any other relevant authorities prior to commencing the works. This includes compliance with the New York City Building Code (including Chapter 33 on safeguards during construction), local zoning laws, environmental regulations, and noise ordinances.

The works shall not violate any covenants, restrictions, or easements affecting either property. The Building Owner shall indemnify and hold harmless the Adjoining Owner from any fines, penalties, violations, or liabilities arising from the Building Owner's failure to comply with these requirements.

The Adjoining Owner shall reasonably cooperate in obtaining permits where their consent or signature is required by law, without waiving any rights under this Agreement.

Routine maintenance of the Party Wall (e.g., painting, cleaning) shall be shared equally between the Building Owner and Adjoining Owner and performed as needed but no less than annually.

Repairs due to the proposed works under this Agreement shall be the responsibility of the Building Owner, including any damage caused to the Adjoining Owner's property or the Party Wall itself.

Emergency repairs necessary to prevent imminent harm to persons or property may be undertaken by either owner without prior notice, but the initiating party shall notify the other as soon as practicable. Costs for emergency repairs shall be allocated based on causation, with the party whose use or neglect caused the emergency bearing primary responsibility.

If the parties cannot agree on cost allocation or responsibility for any repairs, a neutral surveyor shall determine the allocation in accordance with Section 13 of this Agreement. All repairs shall be performed by licensed contractors authorized to work in New York City.

The party performing repairs shall complete them within a reasonable time, not to exceed 60 days unless extended by agreement or surveyor award, and shall restore the Party Wall and affected areas to their prior condition.

Costs for the Scope of Works, including construction, shall be borne solely by the Building Owner unless the works confer a measurable increase in value to the Adjoining Owner's property, in which case a surveyor may determine a reasonable contribution not to exceed 50% of the incremental benefit.

Routine maintenance and repair costs (not attributable to the works) shall be shared equally. Emergency repair costs shall be allocated based on causation as determined by a surveyor if disputed.

The Building Owner shall provide a security deposit or bond in the amount of $25,000 (or such other amount as determined by the surveyors) to the Adjoining Owner prior to commencing works, to secure payment of any damages or costs owed to the Adjoining Owner. This shall be held in escrow and returned upon final accounting, less any valid claims.

The Building Owner shall provide the Adjoining Owner with a detailed accounting of costs within 30 days of completion of the works. Any dispute over costs shall be resolved by a neutral surveyor whose determination shall be binding unless appealed under New York law.

30 days' written notice shall be required before one party can request contribution for Party Wall costs from the other party.

The Building Owner and their contractors shall have access to the Adjoining Owner's property as reasonably necessary to perform the Scope of Works, subject to the protocols in this Section.

Access shall be minimized to reduce disruption. The Building Owner shall maintain commercial general liability insurance with limits of at least $1,000,000 per occurrence, naming the Adjoining Owner as an additional insured, and shall provide certificates of insurance prior to access.

Any damage to the Adjoining Owner's property caused by access or the works shall be restored by the Building Owner at their sole expense within 30 days of completion or as otherwise agreed.

Access is permitted only on weekdays between 8:00 AM and 6:00 PM, in compliance with New York City noise ordinances and construction hour restrictions. No access on weekends or holidays without the Adjoining Owner's prior written consent. Access shall be coordinated at least 48 hours in advance.

The Adjoining Owner shall have reciprocal access rights to the Building Owner's property for inspection, maintenance, or repairs related to the Party Wall, on the same terms.

All access shall be accompanied by a representative of the property owner unless waived in writing.

Prior to commencing any works, both parties shall maintain adequate property and liability insurance with minimum limits of at least $1,000,000 per occurrence. Each party shall name the other as an additional insured on their respective policies and provide certificates of insurance to the other party at least 14 days prior to the start of works.

The policies shall include waivers of subrogation in favor of the other party. The Building Owner's insurance shall specifically cover the Scope of Works and potential damage to the Adjoining Property.

The Building Owner shall be liable for all damages to the Adjoining Owner's property or the Party Wall caused by the works, negligence, or breach of this Agreement. This includes direct damages, consequential losses, and reasonable attorneys' fees. The Adjoining Owner shall be liable for damages caused by their own negligence or interference with the works.

Liability for damages shall be several, not joint, based on each party's proportionate fault as determined under New York law.

The parties shall first attempt to resolve any disputes arising from this Agreement through good-faith negotiation.

If negotiation fails, the parties shall proceed to non-binding mediation administered by a mutually agreed mediator in New York County.

If mediation is unsuccessful, disputes shall be resolved by binding arbitration in accordance with the rules of the American Arbitration Association or by litigation in the courts of the State of New York located in New York County. Litigation is available as a remedy and is not disfavored.

The prevailing party in any arbitration or litigation shall be entitled to recover reasonable attorney's fees and costs from the losing party, in accordance with New York Civil Practice Law and Rules (CPLR).

This Dispute Resolution section shall be governed by New York law.

Each party may appoint a qualified surveyor licensed in the State of New York. If the appointed surveyors cannot agree on any matter, they shall jointly appoint a third surveyor within 14 days. If they fail to do so, either party may apply to a New York court for appointment of the third surveyor.

The surveyors shall act impartially and prepare an award detailing the rights, obligations, methods of work, cost allocations, and protections. The award of the surveyor(s) shall be binding on the parties unless appealed to a New York court under applicable law (including RPAPL Article 15).

Fees of the surveyors shall be allocated equally unless the surveyor(s) determine that one party acted unreasonably, in which case the unreasonable party may bear a greater share as determined in the award.

The parties shall cooperate with the surveyors and provide all necessary access and information.

The Building Owner shall take all necessary precautions to protect the Adjoining Owner's property from damage during the works, including shoring, underpinning, weatherproofing, debris protection, and security measures, in full compliance with the New York City Building Code (Chapter 33) and best practices under New York law.

The Building Owner shall monitor the Adjoining Property for any movement or damage and shall immediately cease work and notify the Adjoining Owner and surveyors if issues arise. The Building Owner shall be responsible for all costs of such protections and any resulting repairs.