Village Cooperatives—a newly popular age-62-plus housing concept that sprouted in Minnesota and other Midwestern states before becoming a fast-seller here in Colorado—are showing every sign of growing into an even bigger hit now, with the run-up in home prices.
As the Village Cooperative launches its tenth Colorado project, headed for W. 136th and Sheridan in Broomfield’s Broadlands area, buyers have already put deposits on 60% of the 52 spacious homes that will be offered there.
In a market where their equity from their older house is substantial but their prospects of getting a great deal on a new ranch or condo are minimal, Village Cooperative buyers stand to get a maintenance-free single-level unit for an up-front investment of as little as $131,000—$256,000 for the largest one offered (a 2-bedroom/2-bath plus study, over 1,500 sq. feet).
Thatap not only a fraction of average new home prices around Denver but also much less than renters see as up-front investments at large-scale independent living communities, some requiring buy-ins of over $500,000.
“Cooperatives are a concept that the run-up in prices hasn’t really affected,” says Steve Von Schmidt, marketing director for Minneapolis-based Real Estate Equities Development, LLC.
In a co-op, buyers purchase a relatively inexpensive “equity share” in the building, then make monthly payments covering operating costs—at levels well below those for typical apartments of this size and quality (those average $1,700/month).
At the end of their residency, buyers sell their interest for a fixed rate of return of 3% annual appreciation on top of their original investment. Meanwhile, Village Cooperatives provides virtually ALL maintenance on the units—even replacing appliances and changing the light bulbs.
Part of the idea, says Von Schmidt, is to create a community of like-minded buyers who get to know each other via common amenities designed for social engagement—nice lounge and club areas with a fireplace, hobby shop, reading areas, and personal gardens.
The heated parking has a car wash bay, and all homes come with all appliances including a washer and dryer.
What they DON’T have are unnecessary extras, notes Von Schmidt.
Seven Colorado communities are now complete (including Lakewood, Centennial, Colorado Springs and Longmont)—as they continue to spread through the Midwest, now coming to Washington State, too.
Broomfield sales manager Shelley Grav (she’ll brief you on the remaining opportunities) moved here from a successful launch in South Dakota; while another new Village Cooperative is selling rapidly in Grand Junction.
The news and editorial staffs of The Denver Post had no role in this postap preparation.