Establishment of housing cooperatives

A new law will govern the organization and operation of housing cooperatives, including powers of their board of directors.

Previously, the incorporation of housing cooperatives was governed by agricultural and utility cooperative statutes, and their daily operations by myriad other statutes. The Minnesota Cooperative Housing Act will consolidate all aspects under one statute.

The law also adds a new statutory chapter under which housing cooperatives can be formed, but they may still be formed under all the previously established chapters.

Housing cooperatives have become increasingly popular, particularly among the affordable and senior housing sectors. Proponents said the law will create a consistent and supportive framework for cooperative models to grow, providing unique entry points to home ownership and greater community connectivity.

The law, sponsored by Rep. Matt Norris (DFL-Blaine) and Sen. D. Scott Dibble (DFL-Mpls), takes effect Aug. 1, 2025.

HF3800*/SF4053/CH96

HF3800* / SF4053 / CH96