Articulating value in cooperative housing International and methodological review Louise Crabtree, Sidsel Grimstad, Joanne McNeill, Neil Perry, Emma Power January 2019 Contents CONTENTS ....................................................................................................................................................... 2 BOXES .............................................................................................................................................................. 5 FIGURES ........................................................................................................................................................... 5 TABLES ............................................................................................................................................................. 5 GLOSSARY ........................................................................................................................................................ 6 1 EXECUTIVE SUMMARY ........................................................................................................................... 10 1.1 THE BENEFITS OF COOPERATIVE HOUSING ..................................................................................... 11 1.1.1 Social capital ................................................................................................................................... 11 1.1.2 Housing quality and stability ........................................................................................................... 11 1.1.3 Health and wellbeing ...................................................................................................................... 12 1.1.4 Skills acquisition .............................................................................................................................. 12 1.1.5 Reduced costs ................................................................................................................................. 12 1.1.6 Broader economic or development outcomes ............................................................................... 12 1.2 FRAMEWORK FOR A PROPOSED METHOD ........................................................................................ 13 1.3 ENABLING GROWTH AND DIVERSIFICATION ................................................................................... 13 2 BACKGROUND AND OVERVIEW ............................................................................................................. 15 2.1 PROJECT DESCRIPTION .................................................................................................................. 15 2.2 OUTLINE OF THIS REPORT .............................................................................................................. 15 3 CURRENT EVIDENCE FOR COOPERATIVE HOUSING ................................................................................ 16 3.1 CURRENT EVIDENCE FOR SOCIAL OUTCOMES IN COOPERATIVE HOUSING ........................................ 16 3.1.1 Social capital ................................................................................................................................... 16 3.1.2 Housing quality and stability ........................................................................................................... 21 3.1.3 Health and wellbeing ...................................................................................................................... 21 3.1.4 Skills acquisition .............................................................................................................................. 21 3.1.5 Lower operating costs ..................................................................................................................... 21 3.1.6 Broader economic or development outcomes ............................................................................... 22 3.1.7 Insularity and exclusivity ................................................................................................................. 22 3.1.8 Burnout ........................................................................................................................................... 22 3.2 DIVERSITY IN BUSINESS MODELS .................................................................................................. 23 3.2.1 Scale ................................................................................................................................................ 24 3.2.2 Clear objectives ............................................................................................................................... 24 3.2.3 Institutional support ....................................................................................................................... 24 3.3 FACILITATING THE GROWTH OF COOPERATIVE HOUSING ................................................................ 27 3.3.1 International requirements for success .......................................................................................... 27 3.3.2 Growing the Australian cooperative housing sector ...................................................................... 28 4 THE SOCIAL VALUE AND EFFICIENCY OF HOUSING COOPERATIVES ........................................................ 31 4.1 THE ECONOMICS OF SOCIAL HOUSING ............................................................................................ 31 4.2 ASSESSING THE EFFECTIVENESS AND EFFICIENCY OF SOCIAL HOUSING .......................................... 33 4.3 COST-CONSEQUENCES ANALYSIS ................................................................................................... 35 4.4 THE MISSING TENANT: IMPROVING THE COST-CONSEQUENCES ANALYSIS ....................................... 37 4.5 MEASURING OUTCOMES ............................................................................................................... 39 4.5.1 Limitations in existing data ............................................................................................................. 39 4.5.2 Measuring community/tenant outcomes ....................................................................................... 40 4.5.3 Additional domains and the program logic approach .................................................................... 44 4.6 CONCLUDING COMMENTS AND RECOMMENDATIONS ..................................................................... 46 4.6.1 Summary ......................................................................................................................................... 46 4.6.2 Recommendations .......................................................................................................................... 48 5 THE AUSTRALIAN CONTEXT ................................................................................................................... 50 5.1 OVERVIEW ................................................................................................................................... 50 5.2 EQUITY COOPERATIVES IN AUSTRALIA .......................................................................................... 50 5.3 COOPERATIVE HOUSING SOCIETIES IN AUSTRALIA ........................................................................ 53 5.4 PRELIMINARY ISSUES FOR GROWTH AND DIVERSIFICATION ........................................................... 56 5.5 SUMMARY...................................................................................................................................... 57 6 INTERNATIONAL HOUSING COOPERATIVE SECTORS .............................................................................. 58 6.1 UNITED STATES OF AMERICA ........................................................................................................ 58 6.1.1 Overview ......................................................................................................................................... 58 6.1.2 Key insights from history ................................................................................................................ 59 6.1.3 Strengths and weaknesses .............................................................................................................. 61 6.1.4 Exemplar: Urban Homesteading Assistance Board (UHAB), New York City ................................... 62 6.1.5 Exemplar: Coop City, New York City ............................................................................................... 62 6.1.6 Exemplar: ROC USA (Resident Owned Communities USA) ............................................................. 63 6.1.7 Future directions ............................................................................................................................. 63 6.2 CANADA ....................................................................................................................................... 64 6.2.1 Overview ......................................................................................................................................... 64 6.2.2 Key insights from history ................................................................................................................ 65 6.2.3 Strengths and weaknesses .............................................................................................................. 65 6.2.4 Exemplar: Canada Mortgage & Housing Corporation ...................................................................
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