Community Land Trusts (CLT)

Author(s)

Author(s) of the concept: EU-funded program

Community Land Trusts (CLTs) are an innovative model of affordable housing and community development that have been growing in popularity across Europe in recent years. The key features of the CLT model in the European context include:

Separation of Land and Building Ownership

CLTs acquire and hold land in perpetuity on behalf of the local community. The land is removed from the speculative market. Buildings on the land, such as homes, are sold or rented to low and middle income residents at affordable rates[1][3][8]. This split ownership model helps preserve long-term affordability.

Permanent Affordability

When selling homes, CLTs use legal mechanisms like ground leases and resale formulas to ensure the homes remain permanently affordable for future buyers as well[1][2][4]. Even if neighborhood land values rise, the CLT homes stay affordable from one resident to the next. This allows the CLT to serve generations of residents.

Community Control and Governance

CLTs are democratically governed non-profit organizations with community representation built into their structure[4][8][19]. Residents of CLT homes, community members, and public representatives typically make up the CLT board. This gives the community a voice in the stewardship of the land and homes.

Variety of Uses

While providing permanently affordable housing is the primary focus of most European CLTs, they can also steward other community assets like gardens, civic buildings, commercial spaces, and green areas for conservation[1][8][19]. The CLT acts as a long-term steward of these assets on behalf of the community.

Growth of the Model

The CLT model first emerged in the US but has spread to Europe, with over 300 CLTs now established in the UK, Ireland, Belgium, France, Germany, the Netherlands and Spain[14][18]. The largest concentrations are in the UK and Brussels. Groups in Eastern Europe and Scandinavia are also exploring the model[16].

Policy Support

Some European governments have started to support CLTs as an innovative affordable housing solution. For example, the Brussels regional government has allocated funding to the Brussels CLT[15]. In the UK, the government has funded a national CLT Network[4]. Enabling legal and financial frameworks are important for scaling the model.

In summary, the CLT approach of community-led development, permanent affordability, and democratic stewardship of land is gaining traction as a solution to Europe's affordable housing challenges. While still an emerging movement, European CLTs are demonstrating the model's potential to empower communities and provide inclusive, sustainable housing.