Com· mu· ni· ty
A unified body of individuals, such as:
a. People with common interests living in a particular area,
b. A group of people with common characteristics or interest living together within a larger society,
c. A body of persons of common and especially professional interests scattered through a larger society,
d. A body of persons or nations having a common history or common social, economic, and political interests,
e. A group linked by a common policy,
f. An interacting population of various kinds of individuals (such as species) in a common location.
Land
The solid part of the earth’s surface, also:
a. A corresponding part of a celestial body (e.g., the moon),
b. The ground or soil of a specified situation, nature, or quality,
c. The surface of the earth and all its natural resources,
d. A portion of the earth's solid surface distinguishable by boundaries or ownership,
e. A country, state, city, or village,
f. A rural area characterized by farming or ranching,
g. A realm or domain,
h. The people of a region,
Trust
One in whom confidence is placed, also:
a. Assured reliance on the character, ability, strength, or truth of someone or something,
b. Dependence on something future or contingent (e.g., hope),
c. Reliance on future payment for property (e.g., merchandise delivered via credit),
d. A combination of entities formed by a legal agreement, especially one that reduces or threatens to reduce competition,
e. Something committed or entrusted to one to be used or cared for in the interest of another.
The Origin of CLTs
Community land trusts can be traced in their conceptual history to the following global movements:
1) 1900s
The Garden City Movement was a 20th century urban planning undertaking, promoting satellite communities surrounding the central city and separated with greenbelts.
3) 1950s
India's Gramdan Movement, led by disciples of Gandhi, was an attempt, to persuade wealthy landowners to voluntarily give a percentage of their land to landless people.
History of Orange Mound
Named for the Osage Orange Trees, which grew in the area, Orange Mound is a historic neighborhood located in southeast Memphis, TN. It holds significant cultural and historical importance as one of the first African American neighborhoods in the United States. Orange Mound has a surprising legacy, with roots going back to the time of plantations and slavery. Orange Mound grew at the end of the nineteenth century out of the ashes of that infamous era. It was one of the first communities in the United States to be built entirely by and for African Americans.
2) 1920s
Israel’s cooperative agricultural settlements, the Moshavim, pioneered by the Labor Zionists, was a type of cooperative agricultural community, with an emphasis on community labor.
4) 1960s
New Communities, led by individuals from civil rights organizations, a 5,700-acre land trust and farm collective owned and operated by approximately a dozen black farmers situated in the Southwest Georgia region, was the first community land trust in the United States of America.
In late 1889, Mattie Park Deaderick, widow of William Deaderick, sold 60 undeveloped acres of land to Elzey Eugene “E.E.” Meacham, son of a prominent merchant and wholesale grocer. Meacham would eventually become a well-known real estate developer in the region, with Orange Mound being one of his larger and more notable developments.
Although there were a numerous successful black home builders in the area, who built some of the best quality homes, bar none; in segregated south of the late 19th century, they were the exception. Housing options for most African American remained grim. Meacham however, and a group of talented black builders, were about to change that for many, many black families in the region.
Other key aspects of its history include:
1. Historical Significance:
- Founded in the late 19th century, Orange Mound was developed as a neighborhood for African Americans in the era of segregation.
- It became a thriving community with its own businesses, schools, churches, and social organizations, despite facing racial discrimination and limited resources.
- Orange Mound is recognized as the first neighborhood in the United States to be built by and for African Americans.
2. Community Pride and Identity:
- Orange Mound has a strong sense of community pride and identity. Residents have worked to preserve the neighborhood's historical legacy and promote its cultural heritage.
- The neighborhood hosts events like the Orange Mound Parade and Festival, which celebrates the community's rich history and cultural diversity.
3. Housing and Architecture:
- Orange Mound features a mix of architectural styles, including shotgun houses, bungalows, and cottages. These homes reflect the neighborhood's historical development and the diverse backgrounds of its residents.
- In recent years, efforts have been made to restore and revitalize housing in Orange Mound, preserving its unique architectural character while addressing issues of blight and disinvestment.
4. Community Organizations and Development:
- Several community organizations, such as the Orange Mound Development Corporation, work to promote economic and community development in Orange Mound.
- These organizations support initiatives focused on housing rehabilitation, business development, educational opportunities, and youth programs to improve the quality of life for residents.
5. Challenges and Opportunities:
- Like many urban neighborhoods, Orange Mound faces challenges such as poverty, crime, and disinvestment.
- However, community leaders, residents, and organizations continue to work towards
revitalization and sustainable development.
- Efforts include initiatives to attract investment, promote homeownership, improve infrastructure, and provide resources for education and job opportunities.
Orange Mound's rich history, cultural significance, and resilient community spirit make it an important neighborhood in Memphis. Through community-led efforts and partnerships, residents and organizations are actively working to address challenges and create a brighter future for Orange Mound.
Circa 1900s black men building a house in Orange MoundWhat Is a CLT
A Community Land Trust (CLT) is a nonprofit organization that acquires and holds land for the benefit of a community. The primary purpose of a CLT is to provide affordable housing, promote community development, and ensure long-term stewardship of land and properties.
In a CLT, the land is owned collectively by the organization, while individual homeowners or tenants typically hold longterm leases or ownership of the buildings on the land. This model helps to separate the ownership of the land from the ownership of the housing units, which helps to keep the housing permanently affordable and accessible to future generations.
The key characteristics of a Community Land Trust include:
1. Community Control:
- The CLT is governed by a board of directors, which typically includes community members, residents, and other stakeholders. The board ensures that the CLT operates in the best interest of the community it serves.
2. Affordable Housing:
- CLTs focus on providing housing that is affordable for low- and moderateincome individuals and families. The CLT sets restrictions on the resale price of homes to maintain affordability over time, even when properties are sold or transferred.
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3. Permanence and Stewardship:
- CLTs hold land in perpetuity, ensuring that it remains a community asset. The CLT's stewardship responsibilities include property management, maintenance, and enforcing affordability guidelines.
4. Resident Participation:
- CLTs often involve residents in decision-making processes and encourage community participation and engagement. This helps to build a sense of community ownership and fosters a supportive living environment.
5. Community Benefits:
- CLTs may also engage in community development activities beyond affordable housing, such as creating green spaces, community centers, or other amenities that meet the needs of the community.
CLTs have been successful in addressing housing affordability challenges and preserving housing for low-income communities, while also promoting community stability and empowerment. They provide an alternative to traditional ownership models and offer a sustainable approach to ensuring affordable housing remains available for generations to come.
Establishing a CLT
Establishing a Community Land Trust (CLT) in the U.S. involves several steps. A CLT is a nonprofit organization that acquires and holds land for the benefit of a community, providing affordable housing, community development, and long-term stewardship. Here's a look at the process:
1. Research and Planning:
- Study existing CLTs: Learn about successful CLTs in your area or similar communities. Understand their structures, governance models, and legal frameworks.
- Identify community needs: Assess the housing and community development needs in your target area. Determine if a CLT is the right approach to address those needs.
2. Form a Core Group:
- Assemble a core group of individuals who are passionate about establishing a CLT. Include community members, housing advocates, legal professionals, and other stakeholders.
- Define roles and responsibilities within the group and establish a clear vision and mission for the CLT.
3. Incorporate the Organization:
- Decide on the legal structure: Consult with an attorney to determine the appropriate legal structure for your CLT, typically either
a nonprofit corporation or a cooperative.
- Develop bylaws: Create bylaws that outline the governance structure, decision-making processes, and membership criteria for the CLT.
- Register as a nonprofit: File the necessary paperwork with the appropriate state agency to incorporate as a nonprofit.
4. Build Partnerships:
- Collaborate with local stakeholders: Engage with local government agencies, community organizations, affordable housing advocates, and potential funders to build support.
- Establish partnerships: Forge relationships with lenders, developers, and other organizations that can contribute to your success.
5. Secure Funding:
- Create a financial plan: Develop a inclusive financial plan that outlines the sources of funding for acquiring land, developing properties, and sustaining the CLT's operations.
- Seek grants and donations: Apply for grants from government agencies, foundations, and other organizations that support affordable housing and community development initiatives.
- Explore financing options: Investigate loans, tax credits, and other financial mechanisms available for CLTs.
6. Acquire Land and Develop Properties:
- Identify suitable properties: Conduct a thorough search for properties that align with the CLT's mission and meet the community's needs.
- Acquire land: Negotiate with landowners to acquire property for the CLT. This can involve purchasing land, receiving donations, or entering long-term leases.
- Develop housing units: Collaborate with architects, contractors, and developers to design and construct affordable housing units that meet the CLT's goals.
7. Stewardship and Community Engagement:
- Implement stewardship practices: Develop guidelines for property management, including maintenance, rent collection, and tenant support services.
- Engage the community: Foster resident participation and involvement in the CLT's decisionmaking processes and encourage community building among residents.
8. Monitor and Evaluate:
- Establish monitoring systems: Track the CLT's performance, including the affordability of housing units, community impact, and financial sustainability.
- Regularly evaluate progress: Assess the effectiveness of the CLT's programs and initiatives to identify areas for improvement and adjust strategies as needed.
Remember, the process of establishing a CLT can vary based on local regulations and specific circumstances. It is important to seek legal advice and consult with experts who have experience in real estate development, affordable housing, and community development, to ensure compliance with relevant laws and regulations in your area.
CLT Case Studies
There are several successful case studies of Community Land Trusts (CLTs) that have made significant strides in providing affordable housing and fostering community development. Here are a few notable examples:
1. Champlain Housing Trust (CHT)Burlington, Vermont, USA:
- The Champlain Housing Trust, founded in 1984, is one of the largest and oldest CLTs in the United States.
- CHT has developed over 2,200 permanently affordable homes, including single-family houses, condos, and cooperatives, serving approximately 6,000 people.
- They have a unique shared equity homeownership model, where residents build equity in their homes, and affordability is preserved when they sell.
- CHT stewards 606 owner-occupied homes in its signature shared-equity program, manages 2,350 apartments and a motel for homeless families, and both owns and manages 140,000 sq. ft. of community facilities and commercial space. In addition, CLT offers homebuyer education and financial fitness counseling, provides services to six housing cooperatives, and offers affordable energy efficiency and rehab loans
2. Dudley Street Neighborhood Initiative (DSNI) - Boston, Massachusetts, USA:
- DSNI, established in 1984, is a community-based organization that spearheaded the creation of a CLT in the Dudley neighborhood of Boston.
- The CLT has successfully developed over 225 affordable homes, created community gardens, and established a youth center and other neighborhood amenities.
- DSNI actively involves residents in decision-making, ensuring that the community's voice is heard in the CLT's operations.
- DSNI is also notable because of the unique partnership with the City of Boston. The City granted the land trust eminent domain authority to condemn lands in the Dudley Triangle neighborhood and provided the land trust significant financial resources to support the development of affordable housing and other community projects in the neighborhood.
- Dudley Neighbors, Inc. worked with the city to acquire 60 acres of vacant land to implement the community vision of creating an “urban village” that would provide permanently affordable housing and other community amenities for residents of the Dudley Triangle Neighborhood.
3. Cooper Square Community Land Trust - New York City, New York, USA:
- Cooper Square CLT was formed in 1994 to address housing affordability issues in the Lower East Side of Manhattan.
- Its roots go back to 1959, when planning czar Robert Moses proposed to level an 11-block area in the Lower East Side and replace it with what might now be dubbed “affordable housing” – unionsponsored coops
- The CLT has developed and renovated multiple buildings, providing permanently affordable rental and homeownership opportunities.
- Cooper Square CLT prioritizes housing for low-income residents, artists, and community-based organizations, contributing to the preservation of the neighborhood's diverse character.
- The CSC created the Cooper Square Mutual Housing Association (MHA) in 1991 to manage 303 units of multifamily housing and 23 commercial units in 19 buildings, mostly within three blocks of the urban renewal area.
- The Land Trust owns the land on which the MHA buildings reside.
4. Burlington Associates - Various locations across the United States:
- Burlington Associates is a consulting firm that specializes in CLT development and provides technical assistance to communities interested in establishing CLTs.
- They have worked on numerous successful CLT projects across the country, including in places like Washington, Oregon, and New Hampshire.
- Burlington Associates has worked in a diverse array of inner-city neighborhoods, suburban towns, and rural communities, assisting nonprofit developers of affordable housing, municipal governments, state agencies, and community development financial institutions throughout the USA, Puerto Rico, Canada, Australia, Belgium, and England.
- Burlington Associates and their partners have worked with over 150 CLTs, assisting many in getting started, assisting many others with long-term planning for the stewardship of their portfolios and the sustainability of their operations.
Ownership v. Control
Historically, he who owns the land, controls the resources. Kings throughout many ages have waged wars, to take control of lands to exploint the resources, including people. Even today in modern societies, ownership of land is a necessity in the quest to control resources.
The million dollar question is however, would you rather have ownership or control? Yes, I know what you’re thinking. “How can one have homeownership, if they don’t own the land?” Well actually it’s very easy. In fact, the very wealthiest of individuals, for the most part, do not directly
own the home(s) they live in. Typically their properties are held in a either trust, LLC, or shell company. Why? For the purposes of shielding assets from litigation, legal tax avoidance, and to exercise a probate-free legacy transfer upon their death or demise
EXAMPLE: See Image Above
So whether you are a wealthy individual, or someone who needs affordable housing, the notion that “I need to own it in my name” is not necessarily the only way for you to enjoy all the benefits of ownership. With either approach, it’s really the same game… ASSET PROTECTION.
The Future for ABODE
The case studies in a previous section demonstrate, the effectiveness of CLTs in creating and preserving affordable housing, fostering community engagement, and promoting long-term community stewardship. Each CLT has its unique own approach and strategies tailored to the
specific needs and contexts of their communities. Understanding these examples can provide valuable insights and inspiration for those who will be involved with the establishment of the ABODE Community Land Trust in Memphis. The possibilities are endless, and the
opportunity could not be more ideal for the establishment of a BIPOC led effort to bring a new community land trust initiative, to the Orange Mound community in Memphis. Different states and cities require different types of structures that act as the holding tank for the community land trust.
In most cases, it will be a non-profit organization, but that does not mean there can’t be other for-profit entities that are held by the CLT that create other streams of revenue. It’s a noble cause and we could not be more excited that the BIPOC community in Memphis is leading the effort!
