Ground Lease (Homeownership Only)
A CLT Ground Lease is a legally binding agreement that gives an individual homeowner the right to exclusive use of the land beneath their home for at least 99 years. The Ground Lease has been carefully crafted to balance the interests of the homeowner with the interests of the land trust.
The Ground Lease describes a homeowner’s rights and responsibilities and what restrictions s/he has agreed to in exchange for those rights. Some of the basic responsibilities of an ICLT homeowner include:
• Paying the monthly ground lease fee to the ICLT (projected at $50 initially).
• Occupying the home as a permanent residence.
• Maintaining the home appropriately.
• Providing Notice of Intent to Sell to the ICLT
• Selling home only to the ICLT or another income qualified homebuyer
• Selling the home for no more than the resale formula price.
Similarly, the ICLT agrees to certain responsibilities as the landowner. The ICLT is responsible both to the local government and to individual homeowners. The basic responsibilities with respect to ICLT homeowners include:
• Granting the homeowner exclusive use and peaceful enjoyment of the land.
• Providing at least 48 hours notice if a representative intends to inspect the property.
• Responding to homeowner notices and concerns including notice of intent to sell or requests for assistance.
• Supporting the homeowner through the process of resale.