The worsening problem of housing affordability is producing hardship for people all across British Columbia and the Capital Region District. In particular, people on fixed or limited income like seniors or single-parent families may face bigger challenges in finding and maintaining stable housing. In response to the problem, numerous pundits have come forward to offer perspectives and guidance. Jake Fry is the founder of Small Housing BC and is one such pundit.
I saw Mr. Fry speak on Tuesday, October 11 at a community town hall meeting entitled “Let’s Talk About Housing {un}Affordability” which featured speakers who discussed issues around the worsening housing affordability crisis in BC and the CRD. In his talk, Mr. Fry offered that Cohousing may play a part in forming a solution to the housing crisis.
Cohousing is a form of strata ownership housing whereby private homes are grouped around shared space. Each home has traditional amenities such as kitchens, bedrooms, and washrooms. The shared space typically includes a common house featuring larger kitchen and dining areas and recreational and laundry spaces. Because home sizes are generally smaller and certain amenities are shared, the initial cost of getting into the home may be lower as may be future, ongoing costs of living. Cohousing may also result in less time maintaining and cleaning the home and thereby more time with family and friends. In turn, there are greater possibilities for community building
Cranberry Commons in Burnaby is an example of a successful Cohousing development. It is a 20,117 sq. ft. lot which includes 22 homes (10 apartments and 12 townhomes) of various sizes. There are 38 parking stalls (32 for the residents and 6 for visitors). The kitchens face towards the inner courtyard and outwards to the street to allow a balance of privacy. One of the great success stories of Cranberry Commons is a resident who is 95-years-old and lives independently with the support of the community. More information about the Cranberry Commons can be found in the Small Housing Toolkit (available at www.smallhousingbc.org/publications/).
With its focus on smaller home sizes and affordability, Cohousing may prove to be a good solution for some single-parent families and senior citizens who are experiencing financial troubles due to the housing affordability crunch. However, as with any strata ownership situation, there are numerous considerations that potential buyers should be aware of including:
- Rights and unit entitlement – What rights do the strata lot owners have? What common property and assets belong to each strata lot?
- Minutes, bylaws, and rules – What do they say? How do they affect how the strata corporation operates? Can the strata corporation restrict residents’ age, establish quiet times, ban smoking in certain areas, allow certain kinds of pets, specify types of window coverings, etc.?
- Voting rights – How does voting work and what does it apply to?
- Number of units – How many strata units are in the building?
- Common/private property, facilities, and amenities – What are they and what are the rules around their use?
- Parking – What private and guest parking is available?
- Restrictions on strata lot use – Are certain activities restricted?
- Developer’s right to rent strata lots – Can the developer rent lots?
- Fees, bills, and taxes – What will have to be paid moving forward?
- Value and resale value – What is the unit worth? What might it sell for in the future?
- Management office – Where is the office? When is it accessible?
- Nuisances – What smells, noises, or other problems might emanate from neighbours or other nearby sources?
- Depreciation and engineering reports – What do they say? Are there current or future concerns with the building or other related structures?
- Judgements or potential pending legal action – Are there any concerns with the strata corporation’s legal position?
These are just some of the questions that a person should ask before buying into Cohousing or other strata living arrangements. Depending on the answers to these and other questions, a person may want to proceed or keep looking at other options. If someone is seriously thinking about proceeding, they should check with a lawyer who can advise on these and other important questions.
Sean Dillman is a lawyer with McConnan, Bion, O’Connor & Peterson who practices in Wills and Estates (wills, powers of attorney, representation agreements, trusts, estate administration), Real Estate (residential, commercial, mortgages, contract review), and Company Law (buying/selling, incorporation, shareholder agreements, partnership agreements, intellectual property). Outside of the office, Sean is an actor. He performed in “She Stoops to Conquer” at Langham Court Theatre in the summer of 2016 before appearing in Agatha Christie’s whodunit murder mystery “A Murder is Announced” at St. Luke’s Players (October 12 to 23, 2016).