Living the cooperative life What is a cooperative? Springton’s full legal name is Springton Housing Association Cooperative, Inc. We’re a corporation formed under the Pennsylvania Real Estate Cooperative Act. A cooperative is a business that is owned and democratically controlled by its members. Not by investors. Because all excess of income over expenses benefits its members, a cooperative is motivated by service to its members, not by profit.

Cooperatives serve over 120 million Americans Co-ops are bustling hubs of commerce operating in virtually every industry, including agriculture, healthcare, insurance, telecommunications and housing. Springton is one of more than 6,400 housing cooperatives that provide homes for over one million households. Some of the larger non-housing cooperatives are Land O’Lakes, Ace Hardware, Sunkist, Blue Diamond and Ocean Spray. A recent survey conducted by the National Cooperative Business Association (NCBA) indicates that while Americans have doubts about the ethical governance of investor-owned corporations, two-thirds believe that businesses owned and governed by their customers (members) are more trustworthy. Consumers believe that the nation’s more than 40,000 cooperatives offer more democratic, accountable and trustworthy options — options consumers clearly prefer — than investor-owned companies. Springton is no doubt one of the smaller housing cooperatives — distinguished by its commitment to providing access to continuing healthcare for its residents. In addition to being a cooperative housing association, Springton Lake Village is a Planned Residential Development and a “satellite” Continuing Care Retirement Community. Dunwoody Village and White Horse Village, located just a short drive away, are our continuing care providers.

How investing in a housing cooperative differs from home ownership Rather than residents owning individual homes or properties, co-op residents own a share of the entire community as members of the housing association. That’s the most significant difference between these two ways of investing in real estate. The Association: • Owns each housing unit. • Is responsible for the maintenance of each home’s exterior and major systems. • Has the responsibility of providing services at a favorable cost using its buying power. • Is required to maintain a wait list of buyers for cooperative interests when members or their heirs wish to sell. • Is obligated to maintain order and decorum in the community so that it remains a desirable place to live.

How Springton is governed In support of these responsibilities, the Association has established specific Rules and Regulations which make it possible for Springton to meet its obligations to its residents. Instead of being owners of a piece of property or the home they occupy, Springton residents are proprietary lessees. One of the consequences of this lifestyle is the requirement for prior approval of any alterations to the interior or exterior of their homes or common areas. There is considerable flexibility within the parameters for personalization. However, to ensure that alterations fall within the guidelines established by the Rules and Regulations, Springton management reviews all specific proposals for alterations in order to protect community interests against alterations that might negatively impact: • Future attraction to someone on the wait list when the cooperative interests for that home are for sale. • The cost of maintenance and/or insurance, thereby increasing the overall cost to the other Association members. The window treatments in a home, the carpet, and the color of walls and ceilings are things that can be personalized, since a new occupant can change these things without much difficulty or untoward expense. However, there is good reason to require prior approval for changes to the common areas surrounding a home, such as landscaping. If the economies of scale inherent in a cooperative community are to be realized, the Association must be free to contract for lawn services that involve standard maintenance for the entire community, not complicated by special procedures around certain homes that increase the cost of maintenance. Building a sense of community Pennsylvania housing cooperatives like Springton are controlled by the provisions of the Pennsylvania Real Estate Cooperative Act, which is designed to protect members of housing cooperatives and regulate their inter-relationships. Compliance with this law and the Springton Bylaws and Rules and Regulations is an important part of being able to enjoy the benefits of our cooperative. The many advantages of co-op living at Springton The distinct advantages of membership in a housing cooperative like Springton Lake Village: • Members are not required to pay a substantial entrance fee that’s never seen again, as is the case with many types of senior housing. • Members preserve a valuable asset by being guaranteed the right to transfer membership to a successor and receive value in return. • Members can take a share of the Association’s real estate taxes and mortgage interest as a Federal income tax deduction. • Members can participate in the governance of the Association, not only by serving on boards and committees, but by having equal voting rights on all major decisions. There is, of course, much more to Springton Lake Village. We encourage you to call or schedule a private tour to see what our lovely lakeside community is all about.

Inquire about homes currently available for purchase, starting at $500,000. Call Melinda Geller at 610.356.7297 or email [email protected], for more information or to arrange a personal tour. Also, visit our website at springtonlakevillage.com.