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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:
1. The membership cost which is a one-time payment that
purchases a share in the cooperative
2. The monthly charge
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?
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Like other
real estate purchases, the equity value increases
with time. Gramercy Park Cooperative of Duluth is a
limited-equity cooperative.
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Members
can deduct their individual share for the property
taxes and interest on the mortgage on their federal
and state income taxes.
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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.
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Cooperative ownership instills a sense of pride
resulting in maintaining the property and
participating in civic affairs, creating a friendly,
active community.
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The Gramercy
Room
Warm friendly hallways.
Beautiful
throughout the year. |
