Cooperative housing in Denmark, how does it work?

Cooperative housing in Denmark, consists in that the ownership of the building is composed and the holder will always be the cooperative. The people who occupy one of these residences are members of this cooperative and will be able to occupy it forever.

This cooperative will always make decisions based on general assemblies of members, the great benefit of this form of residence tenure is that speculation is completely eliminated, since members cannot sell or lease outside of fees and costs. stipulated by the general assembly.

This means that the true value of the cooperative residence is the use and not the value as consumption or exchange good. It is a new way of accessing the residence, which is committed to improving coexistence and the way of acquiring real estate.

Andel Model

Andel means cooperative in Danish, this is the name given to this form of acquisition of residence in Denmark. This model has been around for a few decades now and has become a very successful residence acquisition system.

Advantages of Andel

The Andel has become a tradition in Denmark, it has proven to be convenient and versatile, their cooperatives have so far worked very well without being for profit.

The partner does not own the property but rather the right to use, which guarantees equity. In this model, the access fees will depend exclusively on the size of the residence. Each partner will have co-owner rights, and the right to use is for life.

The only cost for members will be the one related to use, amortization and maintenance. Likewise, all will participate in management and decision-making. You are not obliged to stay in the residence, having the right to a refund of the access fee.

When a residence is unoccupied, management is transparent, without giving preferences over others. The participation regulations of this cooperative are prepared in a clear and understandable way for anyone.

Cooperative housing in Denmark

This is a model that is located between the lease and the property, since the cooperative is the owner and the partners are the ones who have the right to use, which is also inheritable or transferable to family members.

It is a model that allows access to residence to people who otherwise could not access it, in Denmark one third of the population access to residence in this modality.


Under this system each new member of the right to use pays to enter and this money is returned to them when they leave the cooperative, they must also pay a soft fee per month.

Each member of the cooperative has the same rights as the others and participation implies the indefinite use of the residence.

Another peculiarity of this model is that it does not have an expiration date, managing to integrate the community initiative in a non-speculative market of the residence; it has no profit of any kind.

It can be seen as a form of soft rent, whose amount is fixed, with this the acquisition costs are covered and as the debt is paid this rent will go down. If the member needs a larger residence at any time, the cooperative will try to change it without any problem.

In Denmark more than 10% of residences are built under this modality, since it has been a profitable and accessible way of guaranteeing residency for all people who otherwise would have had to adapt to the traditional real estate market.

We hope that with this article you have been able to clarify your doubts about the cooperative housing system and especially expand your knowledge regarding the use of this real estate scheme in Denmark.

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