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What is it?
A community land trust is a
private non-profit corporation created to
acquire and hold land for the benefit of a
community and provide secure affordable access
to land and housing for community residents.
What will it do?
Community land trusts help
communities to:
- Gain control over local land
use and reduce absentee ownership
- Provide affordable housing
for lower income residents in the community
- Promote resident ownership
and control of housing
- Keep housing affordable
for future residents
- Capture the value of public
investment for long-term community benefit
- Build a strong base for
community action
How do Community Land Trusts
work?
The large majority of CLTs,
including those that are city-initiated, are
incorporated as private, not-for-profit entities,
and operate independently of municipal government.
CLTs are usually organized as “membership
corporations,” with boards of directors elected
by the members. Usually the CLT board includes
three kinds of directors: those representing
resident members, those representing members
who are not CLT residents, and those representing
the broader community interest. Typically,
CLTs acquire property as gifts or in the open
market, often with help of funding from private
or public sources. CLTs then hold the property;
development upon that land must be operated
and preserved as affordable for-sale or rental
housing.The CLT model, as defined by federal
statute, has eight distinct features:
- Dual Ownership (CLT owns
the land: another entity owns the housing
on the land.)
- Leased Land
- Perpetual Affordability
- Perpetual Responsibility
- Community Control
- Balanced Governance
- Expansionist Acquisition
- Flexible Development
What income levels does
a CLT serve?
To be eligible for HUD funds,
CLTs can serve extremely- low (below 30% AMI)
to low-income households (up to 80% AMI).
Some CLTs in high cost areas choose to also
serve moderate income households making up
to 120% AMI.
What needs to be done to
establish a Community Land Trust?
The following are the key decisions
and tasks for creating a new CLT:
1. Define “community”
2. Create the corporate structure
3. Create the governance structure
4. Preserve affordability
5. Promote “responsible” use
6. Choose roles and activities
7. Target the benefits
8. Build the base
9. Educate public sector
10. Educate private sector
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