The Limits of Limited Equity Cooperatives: Opportunities and Obstacles to Increasing Black Homeownership and Decreasing the Racial Wealth Gap in Washington D.C.

This paper focuses on recent governmental initiatives in Washington, D.C. to bolster the long-term physical and financial viability of its limited-equity cooperative housing stock. Drawing on in-depth interviews with members of the DC Limited Equity Cooperative Taskforce, it interrogates the relationship between recent municipal housing policy and the growing asset-based racial wealth gap. The findings indicate that limited-equity cooperatives provide myriad benefits to their residents, yet ultimately fail to curb systemic limitations on black wealth in the property market and rectify historical patterns of racial disparity in the distribution of governmental resources. This paper argues that policy makers must proactively assess how new models of shared equity homeownership affect or even perpetuate racial disparities in wealth and continuously interrogate the structural impacts of affordable housing policy on the (re)distribution of resources in urban centers.