Addis Ababa as one of urbanizing cities of developing countries is facing a serious housingrnchallenge. Currently in Addis Ababa low & middle income housing is mainly â€˜addressedâ€™ by thernpublic funded integrated mass housing development program which is way back when comparedrnto the scale of the problem. This study had explored a housing development alternative throughrncooperative-developer partnership by assessing a case, Semay-Tekes housing cooperative locatedrnin Addis Ababa, Sarbet area. The housing cooperative had developed a B+G+5 apartment buildingrnin partnership with a developer. The findings of the research revealed that the cooperativedeveloperrnpartnership was unique win-win model where both the parties interests had beenrnmaintained, risks had been minimized and authorities had been distributed. In addition the researchrnhad identified the following main findings (1) the arrangement was an internal one between therndeveloper and the housing cooperative not officially recognized by the government (2) there werernthree actors government, cooperative and developer, and (3) land and finance were the keyrnelements of the partnership. Finally the study recommends a cooperative-developer partnership forrnhousing development to be included in the housing strategy of the city as one important low andrnmiddle income housing development alternative to address the current housing problem in AddisrnAbaba. This is recommended considering the need to diversify housing development options in therncity and the contextual similarity between Addis Ababa's current context and the context of the casernwith regard to the key elements, land & finance. The approach could be used for onsite re-housingrninner city residents that are located in the renewal areas and to other low and middle incomernresidents of the city with housing problem.rnKey terms: housing, housing cooperative, cooperative developer partnership for housing