Purpose - The paper investigates the challenges to property management in the tenant-owner cooperative (TOC) housing sector in Sweden which accounts for 22% of the housing stock in the country as compared to an average of 10% in the rest of Europe.
Design/methodology/approach - A qualitative descriptive approach is used in the paper in which semi-structured interviews of governing committee members in 12 TOCs; a questionnaire on operation and management strategies sent to chairpersons in 725 TOCs as well as a questionnaire on issues related to energy efficiency sent to chairpersons in 91 TOCs provide the empirical data. This is complemented by an analysis of financial reports.
Findings – The paper provides indications that most of the challenges identified are related to the lack of a long-term perspective in the decision-making due to various principal-agent related problems. There appears to be an exploitation of the TOC sector by construction companies especially in cooperatives with newly constructed buildings.
Research limitations/implications – Because of the chosen sampling method and research approach, the presented results may lack generalisability. Thus, researchers are encouraged to carry out further studies.
Practical implications - The paper highlights the need for knowledge sharing as well as enhancement of competence in procuring outsourced services.
Originality/value – This paper fulfils the need for more research into the large but rarely studied TOC sector governed by amateurs in property management.
Paper type - Research Paper
Stockholm: KTH Royal Institute of Technology, 2016. , 15 p.
Property management, cooperative housing, tenant-owner, multi-owner housing, Sweden