Gramercy Park Duluth is a Senior Cooperative Living owned by its members.
What is Cooperative Living?
A cooperative is a nonprofit corporation that is owned and operated by its members. Each member purchases a share and contributes to the maintenance and management of the grounds, housing, and common areas. It is living with a community of neighbors.
What are the financial obligations when buying into a cooperative?
There are two primary costs for Gramercy Park Cooperative of Duluth:
1. Membership Cost: a one-time payment that purchases a share in the cooperative;
2. Monthly Fee: which includes the mortgage payment, real estate taxes, operating expenses, lender required reserves, interior and exterior maintenance, professional management, heat, sewer, water, trash pick-up, recycling, expanded basic cable television, internet, and underground heated parking. Members are responsible for their own telephone, electricity, and insurance on personal belongings
For Gramercy Park Cooperative of Duluth the monthly charge includes the mortgage payment, real estate taxes, operating expenses, lender required reserves, interior and exterior maintenance, sewer, water, trash pick-up, recycling, expanded basic cable television, underground heated parking and heat. The monthly charge, electricity and the telephone bill are the only monthly bills that residents pay.
What are the benefits of cooperative ownership?
- Like other real estate purchases, the equity value increases with time. Gramercy Park Cooperative of Duluth is a limited-equity cooperative.
- Members can deduct their individual share for the property taxes and interest on the mortgage on their federal and state income taxes.
- The cooperative operates on a democratic basis. Members are actively involved in the cooperative governance. The board of directors, comprised of residents and elected by the members, has the fiduciary and operational responsibilities to carry out the functions of the cooperative.
- Cooperative ownership instills a sense of pride resulting in maintaining the property and participating in civic affairs, creating a friendly, active community.