Land Trust

Written By
Paul Tracy
Updated November 4, 2020

What is a Land Trust?

A land trust is a trust comprised exclusively of real estate assets.

How Does a Land Trust Work?

A land trust holds one or more properties for the benefit of a designated group or organization (beneficiary). The trust is managed by a trustee or board of trustees responsible for overseeing the property or properties on behalf of the beneficiary. Land trust beneficiaries can be for-profit or not-for-profit organizations trying to privately accumulate property holdings for purposes such as expansion or conservation. For example, a community with endangered wildlife may have a land trust for pieces of land that qualify as wildlife sanctuaries.

Why Does a Land Trust Matter?

The activities of a land trust, as with any manner of trust, are private in nature. For this reason, organizations acquire property by way of a land trust so not to effect a sudden change in the value of the property.

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