Community Land Trusts (CLTs) are non-profit entities that hold land on behalf of a community, taking it off the speculative property market and serving as long-term stewards for affordable housing, community gardens, civic buildings, commercial or community spaces, and other community assets.
CLTs balance the needs of individuals who want security and often tenure in occupying and using land and housing with the needs of the surrounding community, striving to secure a variety of social purposes such as maintaining the affordability of local housing, preventing the displacement of vulnerable residents and promoting economic inclusion.
They are governed by a board, often including residents, community members, and public representatives, which gives locals a say in how the land is used. Funding can come from donations, grants, or government support, and they often partner with local governments or developers to grow.
Housing CLT’s
In Australia, CLTs are not common, where most property sales contracts couple ownership title of land and the house. However, in a housing crisis, they are seen as a potential solution, providing affordable housing options and fostering mobility and stability in housing. Grounded is a not-for-profit advocating for CLTs for affordable housing.
In the United States, over 300 CLTs manage 20,000+ units, small but growing slowly due to funding and land access. One success story is the Sawmill CLT in Albuquerque, New Mexico, which transformed a polluted industrial site into 93 affordable houses, a senior centre, and a park by 2020. It cut resident housing costs by 40% below market rate and spurred $10 million in local investment while giving locals veto power over outside developers.
A housing CLT works like this: A family or individual purchases a house on land owned by the Community Land Trust. The homeowners lease the land from the CLT in a long-term, often a 99-year renewable lease or own it in partnership with the CLT. Their rights are inheritable, and agree to sell the home at a reduced price to keep it affordable in perpetuity. Still, they may be able to realise appreciation from improvements they make while they live in the house. The relationship with managed with legal agreements that spell out resale formula, maintenance, appropriate use, inderitance and renovations.
CLTs provide a range of housing options, including resale-restricted home ownership, rental housing and housing cooperatives. CLTs offer homeowners many benefits of home ownership, including control over a dwelling, security of tenure and transfer of occupancy rights, and the potential for some asset wealth building.
Challenges
Non-housing CLTs lack the government grants housing gets (e.g. $10 billion Housing Australian Future Fund 2024), relying on donations and small revenue streams.
They’re tiny – CERES 4 ha or Tasmania Land Conservancy 600 ha pale next to private holdings. The impact is local, not systemic yet.
Many Australians don’t know CLTs can do more than housing, slowing adoption.
CLTs deliver affordability, stability, and empowerment without the residential focus—think food security at Djanbung, biodiversity at TLC, jobs at CERES, or homes on the Southern Moreton Bay Island CLT. They’re a bulwark against profit-first land grabs, offering communities a stake in their future. In Australia’s context—rising costs, climate woes, cultural erosion—they’re a quiet revolution. Want me to dig into one benefit or compare these to housing CLTs.
Check out this post on the many benefits of CLTs and some Australian examples.