borettslag

A borettslag is a form of housing tenure common in Norway where residents own shares in a housing cooperative that owns the building and the land. The shares grant the holder the right to occupy a specific dwelling, a borett, rather than outright ownership of the unit. The cooperative is a legal entity responsible for owning the property and managing shared facilities, with residents participating in governance through a board and a general meeting.

Residents pay monthly payments called felleskostnader to cover costs such as loan repayments on the cooperative’s debt, maintenance and repairs, insurance, utilities for common areas, and property management. The cooperative may carry borrowings, and the value of a borett is tied to the cooperative’s equity and debt, as well as the condition and location of the dwelling.

Membership provides rights and responsibilities, including voting at general meetings and electing the board, and rules regarding subletting, renovations, and use of common areas. When a person leaves, they sell their borett and shares to a new member, subject to the cooperative’s rules and any approval processes.

Borettslag is often contrasted with eierseksjonssameie (condominiums), where owners hold title to a specific unit and a share of the common property, whereas borettslag assigns ownership of the building to the cooperative and a right to occupy a particular dwelling through shares in the cooperative. The governance and operations of borettslag are regulated by Norwegian laws applicable to housing cooperatives and by the cooperative’s own statutes.