Community land trusts (CLT) provide affordable ownership and rental opportunities to individuals, non-profits and businesses through dual ownership of land and buildings. These nonprofit tax-exempt corporations acquire and hold land in perpetuity. Residential or commercial buildings on the land are sold to individuals as homes, to cooperative housing corporations, non profit rental housing developers or other public and private buyers. The land is leased to the building owner through long-term ground leases. This dual ownership minimizes the cost of the land in the cost of the building, making it more affordable.
Dual ownership also facilitates limited equity policies that ensure that buildings are re-sold at an affordable price. Community land trusts are designed to maintain the perpetual affordability of the buildings on its land.