Cohousing-L Mailing List: Re: Membership fees (WAS Money and Greater Hartford Cohousing)

[Mariana Almeida (mqa]

East Bay Cohousing (in SF Bay, CA) just passed a membership dues agreement
that is almost identical to the one Lydia describes below. We are looking
for a site right now.

Lydia, how were you all able to specify a return for early investment in
the high risk phase? We are feeling that without a site (with a price and #
of units it can hold) we cannot make a good guess on the rate of return.
How did you come up with 50% as the the rate of return for that phase? Does
that phase go from option to end of feasibility period? 

Thanks in advance, 
Mariana Almeida



At 07:36 PM 4/17/00 -0500, Lydia & Ray Ducharme wrote:
>All members pay $100 to join and $30 per month to a maximum of $480 (16 x
>$30).  This money is non-refundable.  This has been more than enough to pay
>our "operating expenses" such as baby-sitting, office supplies, lunch at
>workshops, etc.  (I don't think anyone has submitted a bill for the coffee,
>tea and snacks that they provide at meetings).
>
>We have two levels of membership - "associate" and "equity" members.
>"Equity" members finance the project, agree to purchase a home,  and have
>committed to contribute a minimum of $7,500 each although many will be
>investing more.    Only equity members can "block" a decision.  If equity
>members leave the group they lose their investment.  Members will also
>choose their units in the order that they became equity members.
>
>During the high risk phase (before we have secured land) the investors are
>paid a flat return of 50% which will eventually reduce the unit cost.  Once
>land is secured we will pay a rate of
>12%/annum on all additional money needed for the downpayment required to
>finance the project.
>
>We have also received an interest free loan from Canada Mortgage and Housing
>Corporation (CMHC).  The 50% interest savings on this loan, that would
>otherwise have had to be paid during the high-risk phase, will be used to
>create some affordable units.
>
>Lydia Ducharme
>WholeLife Housing
>Calgary, Canada
>
>----- Original Message -----
>From: <Tonka444 [at] aol.com>
>To: Multiple recipients of list <cohousing-l [at] freedom2.mtn.org>
>Sent: Tuesday, April 11, 2000 8:22 AM
>Subject: Money and Greater Hartford Cohousing
>
>
>> Hi everyone--
>>
>> I have a very nuts and bolts money question for you.  Our group has been
>> meeting since July and up until this point each "core" household (11) has
>> only put in $100 bucks for expenses.
>>
>> As of May 1st, we are leveling the membership so that core households will
>> now o pay $200 a month "fair share contribution" towards the option of
>land.
>> We do not have a site or any professionals hired yet.
>>
>> We have 10 households (!) who want to be core at $200 a month.  But the
>> question that held up our group last meeting was...if we have a household
>> join four months from now, do they have to pay $1200 down (to catch up to
>the
>> membership) and then $200 a month and THEN the $100 bucks that the earlier
>> core kicked in?  The membership committee who wrote out the new membership
>> levels did not include the initial $100 requirement but one household
>feels
>> that if they had to pay it, why wouldn't the newcomers?
>>
>> Also, with the new $2000 a month that will be coming in, should that go in
>a
>> separate account and the initial $100 payment be used for expenses and get
>> replenished from the group?  I thought that ALL of the money each
>household
>> put in is considered predevelopment expenses that will come off the top of
>> our mortgages.
>>
>> Just curious how other groups structure out their initial monetary
>payments
>> before a site and before professionals.
>>
>> Thanks,
>> Shelly DeMeo
>>
>
>
>
>