One characteristic of a coop form of ownership is that:

In a cooperative (coop) form of ownership, the structure is defined by a shared ownership model rather than individual ownership of living spaces. In this context, residents own shares in the cooperative corporation, which in turn owns the building and the land it occupies. Because of this structure, the coop board plays a crucial role in deciding who may reside in the building.

The board reviews applications from potential residents and has the authority to approve or deny their residency based on various criteria, such as background checks, financial stability, and adherence to the coop's rules. This ensures that the community maintains its standards and values, as the board members are generally fellow residents who have a vested interest in the wellbeing of the cooperative.

Thus, the requirement for the coop board to approve each resident is a defining characteristic of cooperative ownership, highlighting the communal aspect and the board's governance role within the cooperative.