|Re: Economic naivete||<– Date –> <– Thread –>|
|From: IAN_HIG (IAN_HIGantdiv.gov.au)|
|Date: Fri, 14 Jan 1994 12:13:26 +1100 (EST)|
CASCADE COHOUSING also faced the economic nievety question a couple of years ago. We took the pragmatic solution of opting for individual titles for the units, the owner thus being able to sell on the usuall realestate market. The owner takes the risks and bears any gains or losses. We could not afford to put further impediments in the way of new potential memembers even if we philosphically supported certain ideas. Another consideration is that if units are not sold at "market price", then the body that owns the units is accepting the gains or losses in value. Unless that body is someone other than the residents (ie something like \ a land trust) then future residents could choose to sell off the whole complex (if there had been a large inflation in land value) and get all the benefits, and iff land values fall future residents would also have to wear that. Being concerned with affordability having made this decission we went on to assist in the establishment of a second cohousing group that was a non-equity co-operative that would seek government funding (available where members are low income earners) to build the housing. Cascade CoHousing would then sell some of our sites to the co-operative. Unfortunately the co-op is still tied up in red-tape and has not got its funding yet. Overall we thought this would be a good solution ie some units privately owned and others owned by a non-equity co-operative within the one development. Ian Higginbottom Cascade CoHousing Ian_hig [at] antdiv.gov.au
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