What is a Housing Co-operative?
What is a Co-operative?
A housing co-operative is a non-profit organization which is controlled by the people who live there. Co-ops emerged as a way of restoring community living and providing secure, affordable housing. Each adult resident is a member of the Co-op, which owns the housing and leases it back to the members at cost.
Members of a co-op have the assurance that their housing charges will rise only to meet increased operating costs, but not to provide a profit to a landlord. And, because the housing is collectively owned and never re-sold, members have the security of knowing that they can live in their homes as long as they fulfill the obligations of membership.
What are the Advantages of Co-op living?
There are many benefits to being a member of a Co-op:
- All the affairs of the Co-op are democratically controlled on the basis of one member, one vote
- Monthly housing charges cover only the cost of operating the Co-operative, and will not increase to cover a landlord's profit
- As the members do not own their own units, there is no down-payment required when moving in (or equity paid when moving out)
- The Co-operative offers long-term security of tenure. As long as you are willing to abide by the Co-op's policies, you are welcome to stay
- A Co-op provides a community atmosphere where neighbors know each other and work together to make sure their homes are secure, affordable, and well-maintained. People of all incomes, occupations and backgrounds form the membership of the Co-operative
- Through their participation and involvement, members gain a sense of personal accomplishment and an opportunity to learn new skills
How is the Co-op Managed?
Co-ops depend on the active participation of their members. Each member has an equal voice in the management of the Co-op and a vote on major decisions concerning policy, budgets, and housing charges (rent).
Each year the members elect a Board of Directors to manage the day-to-day administration of the Co-operative with the assistance of hired staff. Board decisions are based on policies which are approved by the Co-op's members.
Committees are formed by members who volunteer to assist the Board with specific tasks. Some committees may include:
The Finance Committee - together with the treasurer and bookkeeper, assists in the financial management of the Co-op and prepares the annual budget.
The Membership Committee - interviews prospective members and helps develop policies for accepting and housing new members.
The Maintenance Committee - is responsible for the overall upkeep of the land and buildings. It organizes member work parties, schedules such duties as lawn mowing and painting, and determines the need for plumbing, repair, or other services.
The Social Committee - welcomes new members and organizes social, cultural, and recreational programs and events.
The Member Relations Committee - is responsible for the enforcement of the Rules and Regulation Policies of the Co-op
The Newsletter Committee - facilitates communication within the Co-op through the production of a newsletter to keep members up to date with the community.
From time to time, additional committees may be formed to deal with other aspects of the Co-op's management.
How is the Co-op Financed?
The Co-op receives Government funding which provides assistance to bridge the gap between the actual cost of providing the housing and the monthly charges paid by the Co-op members. In addition, the Co-op receives rent-geared-to-income assistance for some low-income households.
How do you Become a Member?
If you are interested in living in the Co-op and you are willing to participate, you are welcome to join. After you have completed an interview with two existing members of the Co-op, you will be asked to complete an Application Form. Once your Application has been approved by the Board of Directors and there is a suitable vacancy, you will be offered a unit. If you accept it, you will pay a small membership fee for each adult member, and a unit deposit which will be refunded to you when you move out, provided your unit is in good condition.