You Might Be Thinking…

“But it’s cheaper than buying an apartment in personal ownership, right?”
Yes, cooperative apartments are usually cheaper, but they are legally more complex. The apartment remains the property of the cooperative, and you only acquire membership rights, including the right to use the apartment.

Clients Often Ask Me…

• What’s the difference between owning an apartment and a cooperative share?

• How are membership rights and obligations transferred?

• Can I rent out a cooperative apartment?

• How do I find out whether the cooperative has debts?

• What must a cooperative share transfer contract include?

Cooperative Share Purchase – What the Contract Must Contain

• Identification of the cooperative and the share.

• Rights attached to the share (especially the right to use the apartment).

• Member obligations – contributions, loan repayments.

• Consent of the cooperative’s bodies, if required by the bylaws.

• Agreement on price and method of payment.

Risks and Common Mistakes

• Unreviewed bylaws → may restrict transfers or subletting.

• Cooperative debts → the buyer must contribute to repayment.

• Invalid contract → if it lacks mandatory requirements.

• False sense of ownership → you don’t own the apartment, just membership rights.

Step-by-Step Process

1. Obtain the cooperative’s bylaws.

2. Verify cooperative debts (loans, reconstructions).

3. Check the entries in the Commercial Register.

4. Draft the transfer contract – must be in writing.

5. Submit the transfer to the cooperative and request confirmation.

Lawyer’s Recommendation

✔ Never buy a cooperative share without reviewing the bylaws.
✔ Check whether the cooperative has outstanding debts.
✔ Always have the contract drafted or reviewed by a lawyer.
✔ Remember: a cooperative share is not apartment ownership – it’s membership with rights and obligations.

FAQ

Can I transfer a cooperative share orally?
No, the contract must be in writing.

Do cooperative debts transfer to me?
Yes, as a new member you share the responsibility for repayment.

Can I rent out a cooperative apartment?
Only if allowed by the bylaws.

Is the transfer of a cooperative share safe?
Yes, if the contract contains all mandatory requirements and you’ve verified the cooperative.