City Announces Funding Availability of $4 Million for Community Land Trusts
Friday Sep 3rd, 2021
FOR IMMEDIATE RELEASE
BALTIMORE, MD (Friday, September 3, 2021) — Mayor Brandon M. Scott and the Baltimore City Department of Housing & Community Development (DHCD) have announced a second Notice of Funding Availability (NOFA) for Community Land Trusts (CLTs) – Single Family Homeownership. DHCD is making up to $4 million available for CLT initiatives through the City’s Affordable Housing Trust Fund.
Projects connected to this NOFA must support the City’s community development goals of meeting the demand for affordable housing and integrating land-trust homes as part of a broader mixed-income housing strategy.
"The Community Land Trusts movement represents both a tangible and scalable strategy to help us build community power," said Mayor Brandon M. Scott. "This work will have an added impact on community development, land use, and affordable housing and can be transformative for our city. I'm pleased that we are increasing our investment in this work by almost doubling available funds with this NOFA."
The City is seeking to promote equitable and sustainable community development by directing funds to communities that have faced historical disinvestment. In March, the City made an initial $2.25 million investment in CLT – Single Family Homeownership with three $750,000 awards to CLTs. A nationally proven method used to create homeownership opportunities for households that earn 50 percent or less of the Area Median Income, CLTs are a valuable tool in closing the wealth and equity gap in cities with significant racial disparities.
"Creation of permanent affordable housing is a top priority for the Affordable Housing Trust Fund," stated Acting Housing Commissioner Alice Kennedy. "CLTs represent a place-based tool and an equitable development strategy to help us provide affordable housing options that will ultimately strengthen communities."
Under the land-trust model, a nonprofit organization owns the land and sells the home on the property to qualified buyers at a below-market rate. The land trust’s ownership ensures that the home will remain affordable for 99 years. When a buyer purchases a home from the land trust, they agree to only sell the home to a low-income household and split the equity with the land trust. This model keeps homes in the hands of the community, which helps it to carry out its long-term vision of helping residents build equity in their neighborhoods.
Qualified applicants can request up to $750,000 per project. The deadline is Friday, October 29, at 4 p.m.
Please visit DHCD’s website for information regarding Notices of Funding Availability and instructions on how to apply.
Learn more about Baltimore City’s Affordable Housing Trust Fund here.