What is a residential multi-unit building held by a trust or corporation for the benefit of its residents?

A cooperative is a type of residential multi-unit building where the property is held by a corporation, and the residents are shareholders in that corporation. Each resident does not own a specific unit outright; instead, they own shares that entitle them to occupy a particular unit in the building. This arrangement benefits residents by fostering a sense of community and often includes shared ownership of common areas and amenities.

In a cooperative, residents collectively make decisions affecting the property through a board of directors, which they may elect from among themselves. This structure allows for a collaborative approach to property management and ensures that the interests of all residents are taken into consideration.

In contrast, an apartment complex is typically owned by a single entity and leased out to tenants, meaning residents do not have ownership stakes. Condominiums involve individual ownership of units along with shared ownership of common spaces, while townhouses are generally fee-simple ownership, classifying as single-family dwellings rather than a shared cooperative model. Thus, the cooperative model uniquely aligns with the concept of being held for the benefit of its residents, making it the correct answer.