What is a community land trust?

A community land trust (CLT) is best defined as a nonprofit organization that holds land for community benefit. This structure is designed to promote affordable housing and sustainable community development by acquiring and managing land in a way that protects it from market pressures and speculation. The trust usually allows for the development of housing and other community facilities while keeping the land itself permanently affordable by removing it from private speculative markets.

In a CLT, the land is owned collectively by the nonprofit entity, and homes or businesses may be built on that land through a lease agreement. This means that residents or businesses can own their structures while the land remains in the trust, which allows the community to control the use of the land and ensure it serves the needs of the community rather than individual profit motives.

The other options mischaracterize the role and purpose of community land trusts. Government loan programs typically support home financing but do not control land use or ownership dynamics in the same way. A private organization focused on luxury housing does not align with the mission of CLTs, which prioritize affordability and community benefit over profit. Lastly, while cooperative housing involves shared ownership among residents, it does not inherently include the land-holding principles that are central to the CLT model.