Information on conversion of flats - BRF Logen (Association of Co-operative Flat owners) in Ör
Living in a co-operative flat
If you own a co-operative flat, you are a member of a financial Association. The Association is governed by an Executive Committee elected by the members. In its turn, the Executive Committee elects an administrator who handles the administration and maintenance of the houses.
As the owner of a co-operative flat you assume the responsibility of maintaining the interior of the flat and you may renovate your flat just as you please. Besides, such improvements add to the flat’s value. The external maintenance, such as maintenance of the roof, balconies and main piping is handled by a professional administrator.
In the long run, a co-operative flatsAassociation can keep down the housing costs for its members by maintaining the houses properly. The Aassociation is non-profit – you live in your flat at cost price. Therefore, a co-operative flat costs less to live in than a rented flat, at least in the long term. And if some day you want to move elsewhere, you sell your co-operative flat. It can also be signed over or inherited, unlike rented flats.
Stages of the conversion process
When a conversion of rented flats into co-operative flats is made, a series of legal conditions must be complied with to ensure the correct and proper handling of the process. For instance, the Association must draw up a Financial Plan which is to be certified by two independent inspectors designated by Boverket (National Housing Board). The Financial Plan describes the housing estate and establishes also the budget for the Association’s first ten years of activity.
The Association is also obliged to have a thorough technical inspection of the housing estate carried out by an independent inspector, the objective of the inspection being to pinpoint all renovations that may prove necessary in the next ten years. This will enable the Association to plan for the best way to handle the renovations right from the start.
Approval of the association as new house-owner
For the Association to be able to buy the housing estate, two thirds of the tenants must state their formal approval of the acquisition. This is made at an extraordinary meeting of the Association (a so called ”buyers’ meeting”) where all the tenants can come and vote.
I you do not wish to buy the flat you are currently renting, you may stay on as a tenant in this very capacity, just like you have done so far. This means that you will have the same right as before to obtain service for renovations and the possibility to exchange your flat for another rented flat. The Association will assume the current house-owner’s responsibilities towards the tenants and will handle these questions with the help of a new administrator. The rentals will also be negotiated in the same way as they are today.
Bostadsrättsföreningen Logen i Ör
org. nr. 769631-5782