Title
Update on Community Land Trust
Summary
COUNCIL GOAL: Goal #1.1: Provide a Strong Economy by Creating a Global Housing Strategy and Facilitating a Balance Between Industrial, Commercial, Residential, and Open Space.
MEETING DATE: July 15, 2025
DEPARTMENT: Housing and Community Development Department
CONTACT: Cristel Todd, Affordable Housing Administrator
Margaret Li, Housing and Community Development Director
RECOMMENDED CITY COUNCIL ACTION:
* Receive and File presentation.
ITEM SUMMARY:
* Community Land Trusts (CLT) provide an opportunity to develop affordable housing units by maintaining ownership of the land. Residents are then able to purchase the home (building only) at an affordable price and lease the land from the CLT. As a result the resident is able to generate equity on the home and if they sell are required to sell the home at a restricted price. The land is held in perpetuity by the CLT for affordable housing purposes.
* On May 21, 2024, the City Council adopted the Fiscal Year 2025 Strategic Goals which included:
o Purchase two (2) infill lots to be used for affordable single-family housing, completing both purchases by September 30, 2025
o Develop Policies and Procedures for the Community Land Trust, purchase land, and identify nonprofit development partners, by September 30, 2025.
* Staff is working towards the City Council Strategic Goals and evaluating options to develop property with affordable single family/townhomes for homeownership.
BACKGROUND INFORMATION:
* According to the McKinney Housing Needs Assessment (Root Policy Research), updated in September 2023, 46% of McKinney renters were cost burdened; and there is a rental gap of 5,145 units for households earning less than $35,000 a year.
* The MHFC is a non-profit corporation established pursuant to the Texas Housing Finance Corporations Act, Tex. Loc. Gov't Code Chapter 394, for the purpose of financing the cost of residential ownership and development for the ben...
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