Co-operative Homes Matter

In this blog, we share an insight into how our four housing co-operatives work and the advantages of this model amidst a housing crisis.

Homes matter. Having a home enables us to complete basic human functions such as eating, sleeping and washing with privacy and dignity. A home is an extension of ourselves and helps us to build relationships, connect with communities and have somewhere to reflect and recharge our batteries.

A housing crisis is a people crisis. Houses don’t have hopes and fears - people do. In theory, there are many housing options available including social housing, private rental, and home ownership. However, in the current housing crisis, decent, affordable and secure homes are getting harder to find. This is where co-operative housing comes in. Co-ops provide affordable, secure homes where members can establish themselves within a community and have collective control over how their co-op is managed.

At Coin Street, our four housing developments are run by fully-mutual co-operatives. A housing co-operative is a group of people who jointly own the property they live in and decide how it is run. Co-op members do not individually own their homes, they are tenants and pay rent to the co-operative. Every adult tenant is a member and is expected to take an active part in running the co-op.

Control

An advantage of the co-operative housing model is the power members have to be involved in the day-to-day running of their co-op. Members can decide what’s important to them and work collectively to protect and improve their living conditions. The co-op model gives residents a voice and aims to make running the co-op fair and democratic. It also means that the success of the co-op is down to the work the members put in. Co-op housing gives members an active role in shaping their own destiny and participation in co-op life builds relationships with fellow members through a sense of joint purpose.

Affordable

Co-operative housing is often run on a not-for-profit basis through which members decide what they pay in line with how much it costs to run the co-op. Much of the housing sector is commercial and focussed on creating wealth for people who own and operate housing. The corporate approach disproportionately affects the most vulnerable members of society: the young, the elderly, families, migrants and ethnic minority groups, as well as people who are unwell, disabled or receiving a low income. Co-operative housing provides an affordable solution for people in a range of circumstances without the need to make profits for shareholders. The financial model means that the members decide how much they all have to pay and have their own incentive for keeping costs as low as possible.

Secure

Home ownership and private renting doesn’t provide housing security for many people. Home owners must be in a very strong financial position to withstand fluctuations in the housing market, and private renting can expose people to variable living conditions, demands for higher rent and the possibility of being evicted at short notice. In a co-op, members have security of tenure as long as they pay their fees and abide by the rules. Members can settle into the co-op and build community ties without worrying that they’ll be evicted for no good reason. Families can put down roots and join schools knowing that they won’t have to leave unless they choose to.

Conclusion

Co-operative housing isn’t perfect and can produce many of the usual challenges that arise when people with different experiences and expectations find themselves working together. However, the principles of co-operative housing are fairer and more people-focussed than many of the alternatives. Co-operative housing prioritises providing secure, affordable homes to people in housing need and creating an environment for people to thrive.

At Coin Street, we’re proud to provide 220 co-operative homes in the heart of London. To find out more about our co-ops, visit the website.