Cohousing-L Mailing List: Re: Limits on rentals with or without absentee landlords

[Bonnie Fergusson (fergyb2]

     One reason for limiting rentals is that banks sometimes won’t issue 
mortgages if the percent of units that are rented is too high in a community.  
This can make it hard for owners to sell their units.  Our experience with 
renters has been mostly very good, high community participation and several 
times long term renters have ended up buying into the community when another 
unit becomes available.  Which is a great result for all concerned.
Bonnie FergussonSwans Market CohousingOakland, CA

Sent from Yahoo Mail for iPad


On Monday, July 3, 2023, 7:58 AM, Hafidha Sofia <hafidhaao [at] gmail.com> 
wrote:

Yes, Sophie. Songaia Cohousing has done such a thing. It wasn't part of the 
initial design, but an adaptation. A group of 6-7 members formed an LLC to 
purchase one of the houses that was being built by a developer on an adjacent 
property. The intention was to provide housing for people who couldn't 
purchase. (The community was at capacity. Owners rarely sold and adding more 
dwellings to the land wasn't an option.)

The very large house is rented by room. When I lived there, I rented two 
bedrooms and an office space; there were three additional bedrooms rented out. 
The first wave of renters included two members of the LLC. They had invested 
money to purchase the house and also paid rent to live there.

For the LLC owners it was an investment they got a return on;  it is also a 
fair amount of work. They have to manage the property and tenants, which is a 
part-time job. 

I'm curious about models of cohousing community that build rental units in mind 
from the start - with ownership and management coming from the cohousing 
community. 

A sort of hybrid cooperative, where revenue goes back into community.

I think Canticle Farm in Oakland does something like this. The homes are 
purchased by or donated to the 501(c)3. Canticle operates as a non-profit. My 
understanding is all houses are shared houses, not single family. But there are 
families there! It is a vibrant, lively community.

hafidha




> On Jul 2, 2023, at 2:35 PM, Sophie Rubin <yophiest [at] gmail.com> wrote:
> 
> [trimmed text - the following is an excerpt] 

> To address the issue that Sharon brought up about people getting attached
> and renters having to leave: are there communities that have some owned and
> some rental units? Like via an LLC associated with the community that owns
> the rentals, not individual landlords? Then the rentals could be structured
> to favor long-term renters without them risking displacement. More
> stability for the community and for the renters themselves. And more
> economic diversity for the community.
> 
> [trimmed]
> 
> Sophie Rubin
> 
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