Growth for people, not for profit: the internal factors behind the expansion of housing cooperatives in Berlin

Introduction – Resource Context

This research paper, titled “Growth for people, not for profit: the internal factors behind the expansion of housing cooperatives in Berlin,” is authored by Leonie Laug and Corinna Hölzl. Leonie Laug works as a climate‑adaptation manager for the Friedrichshain‑Kreuzberg district in Berlin, linking municipal policy and housing resilience. Corinna Hölzl is a post‑doctoral researcher at Humboldt‑University’s Geography Department, focusing on community‑led housing and socio‑ecological transformation. The article appears in the peer‑reviewed journal Housing Studies (ISSN 0267‑3037 / 1466‑1810), published by Informa UK (Taylor & Francis) and is openly accessible under a Creative Commons Attribution licence.

Scope – Why Berlin Cooperatives Matter

Berlin hosts a substantial cooperative housing sector, accounting for 11.3 % of the city’s rental stock (≈190 000 units). Large mature cooperatives—those with over 1 000 units—represent a significant share of affordable housing and provide a useful case for pan‑European analysis of non‑profit housing models. The study investigates internal drivers of expansion, complementing existing literature that mainly addresses institutional and policy contexts.

Methodology – Mixed Qualitative Comparative Analysis

The authors combine Qualitative Comparative Analysis (QCA) with expert and board interviews. QCA was applied to 37 mature cooperatives (out of 44 identified) using fuzzy‑set calibration of four characteristics: size, geographical dispersion, member‑unit ratio, and historical type (Gründerzeit vs. GDR). Interviews involved five experts (city administrator, lobbyist, network representative, and two board members) and ten board members from cooperatives of varying size and expansion history. The analysis covers expansion between 2011 and 2021.

Key Findings – Four Internal Factors

1. Physical Scale & Dispersion – Cooperatives with ≥ 3 000 units and a geographically dispersed stock expanded by an average of > 50 units over ten years; 15 of 16 such cases showed expansion.
2. Commitment to Material Expansion – Boards that prioritize new development or purchase, often to accommodate non‑resident members, drive growth, while others focus on maintenance and avoid expansion.
3. Board Cohesion – Unified executive boards are essential; divergent board opinions markedly reduce the likelihood of expansion.
4. Path‑Dependent Expansion Trajectories – Historical land acquisitions and past investment decisions shape current capacity to expand, especially for cooperatives founded in the Gründerzeit era.

Expansion Outcomes – Scale and Limits

Large cooperatives (≥ 4 000 units) with dispersed locations achieved the highest growth, adding 500–1 100 units in the decade. However, expansion often comes at the expense of affordability, as higher construction costs lead to rent levels that can be double the cooperative’s traditional rates. The study notes a trade‑off: while expansion increases housing stock, it may weaken democratic participation and internal solidarity.

Governance vs. Democratic Practices

Boards possess formal decision‑making power that can bypass member assemblies, especially when resident members oppose projects. This centralization can limit democratic deliberation but also enables faster project execution. The research highlights a tension between non‑profit orientation and market‑driven logic, with many cooperatives focusing on internal member needs rather than broader societal solidarity.

Sustainability Implications – Lessons for Europe

The findings suggest that size and spatial dispersion are preconditions for sustainable scaling of cooperative housing, but robust governance and affordability safeguards are required to maintain the sector’s social mission. Policymakers aiming to promote cooperative models across Europe should consider:

• Supporting land access for large, dispersed cooperatives.
• Enhancing financing mechanisms that keep rents affordable during expansion.
• Encouraging board training and participatory structures to preserve democratic governance.

Conclusion – Integrated Perspective

The paper concludes that internal factors—particularly the combination of large, dispersed housing stock and cohesive, expansion‑oriented boards—explain most of the observed growth in Berlin’s mature cooperatives. Nonetheless, expansion alone does not guarantee democratic resilience or long‑term affordability, underscoring the need for policies that align physical growth with the cooperative ethos of solidarity and sustainability.