Related: The Application Process
The Artist Building Cooperative Membership Requirements in Four Parts:
The following protocol has been developed in consultation with the Cooperative's attorney, accountant and management company to ensure financial viability, protect privacy, and for consistency and fairness.
I. Visual Artist qualifications and Community/Cooperative Spirit
The Artist Membership Committee (AMC) will determine the most qualified candidates based on:
- visual artist qualifications as per by-laws,
- past community volunteer work, participation or advocacy,
- ability to work with others and participate in the cooperative spirit of The Artist Cooperative at 300 Summer Street.
The AMC will recommend the two most qualified candidates to the Coop Board for each live-work space for sale.
II. Financial Requirements for Finalists Notified after Interviews
To determine the candidates' financial qualifications, finalists will be asked to mail (more secure) the following financial information (copies) to:
Artist Building Coop Board
300 Summer Street
Boston, MA 02210-1115
- Two most recent years income tax returns
- Two credit reports with scores (up to 5 pages of each)
- Two recent pay stubs, if employed
- Two most recent months bank statements showing liquid assets and deposits if self-employed
- Asset and Liability Form based on the Fannie Mae Uniform Residential Mortgage Application Form detailing all additional monthly expenses for which the applicant is liable, including but not limited to credit card debt, alimony, medical expenses, mortgages for other properties, personal loans and car loan payments.
This information will be used to determine the applicant’s debt: income ratio and credit-worthiness. Good ratings will be required in both categories.
- A credit score of 700 and above will be considered to be good, and a score of 750 and above will be considered to be excellent.
- Candidates with a ratio of 50% or less of net income required for all monthly expenses will be considered. The net income will include all monthly obligations after taxes. Monthly membership obligations will include share loan costs, monthly coop and debt and utility expenses.
- Should the top-ranked candidates not qualify financially, the Artist Membership committee will invite the next most highly ranked applicants to submit their information for consideration.
The Board Treasurer will review financials with the Board President to maintain confidentiality. The Treasurer will recommend the Cooperative Board to accept one buyer, and one back-up buyer. The Treasurer will then provide proper notification and further steps to successful candidates as provided in the by-laws.
Should the board decide to retain the management company or an accountant to determine financial qualification, the Treasurer will submit the financial information to the management company, or the applicant will deliver it directly. The management company may require a CORI background if the Board requests, but it must be requested of all top-ranked applicants under consideration without discrimination.
III. Bank Pre-approval letter if using a loan to finance the Maximum Transfer Value
Related: The Application Process