Re: joint ownership agreement for a small cohousing group
From: John Carver (jcarverislandnet.com)
Date: Mon, 11 Dec 2017 12:13:19 -0800 (PST)
Mike,
It would help to know what kind of spaces you are thinking of creating. If it will be three complete houses or apartments and a shared common house and common space then strata title (like a condo) would probably be the best fit. Have you looked into what that would entail?

Tenancy in common might be fine for three friends, but could be problematic when one wants to move. All 3 would be on title for a specified % of ownership but the title doesn't specify what part of the physical structure that is. If there's any mortgage involved all three would be responsible for it - you couldn't just mortgage one share. Also keep in mind if one dies the share transfers to that person's estate.

Maybe a better option would be to create a cooperative to own the property. You'd sell the property to the co-op, then each of you would buy a share in the co-op and make your own arrangements around living space and payments.

In any case you'd have to look into what's possible where the property is. Where is that, btw? It could be very different from where I'm sitting.

John Carver
Pacific Gardens Cohousing Community <http://pacificgardens.ca/>
Nanaimo, BC

On 11/12/2017 8:34 AM, Mariana Almeida via Cohousing-L wrote:
Sounds like tenancy in common would work? You'd create it and then sell shares to 
them. https://www.investopedia.com/terms/t/tenancy_in_common.asp

Mariana
     On Sunday, December 10, 2017, 4:53:22 AM PST, Mike Librik <mlibrik [at] 
grandecom.net> wrote:
Hello all, I hope this is a simple question answered by sharing some links.

Two friends and I would like to create a small LLC to jointly own some
property.  We expect we'd live together on it in separate spaces with a
shared common house.  Our situation seems simple compared to most
cohousing projects... there are only three of us, and I already own the
land and house we intend to develop.  I'd sell shares in the property to
them prior to development.  We haven't agreed on exactly what the
build-out would look like, but have discussed a few ideas.

Can anyone direct us to samples of legal agreements made by such small
partnerships?  No point in reinventing the wheel.

Our main concern is addressing what happens if someone should want to
move out and needs to sell their share in the community.

Thank you for any wisdom you can share.



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