Land Lease Community
A land lease community is where residents own homes but lease the land, offering affordability with ongoing lease payments.
September 30, 2025
What is a Land Lease Community?
A land lease community is a residential development where residents own their homes but lease the underlying land from a landlord or developer. Common in manufactured home parks, retirement communities, and resort areas.
Why Land Lease Communities Matter in Real Estate
Land lease communities matter in real estate because they lower upfront costs for homeowners but add ongoing lease obligations. They provide affordable housing options but may impact long-term equity growth.
Example of Land Lease Community in Action
A retiree purchases a modular home in a land lease community, paying monthly rent for the lot while retaining ownership of the home itself.
Key Takeaways
- Residents own homes but lease underlying land.
- Common in retirement and manufactured home communities.
- Lowers upfront purchase costs.
- Creates ongoing lease obligations and restrictions.
- May affect long-term equity appreciation.
Related Terms
- Leasehold Estate
- Manufactured Housing
- Cooperative Housing
- Property Management
- Affordable Housing Program
The Agency’s Mauricio Umansky (left) and Rennie’s Greg Zayadi (right).
An overview of the 23 properties. (Chartwell Retirement Residences)
10355 King Boulevard in Surrey. (Arcadis, Wesgroup Properties)
Renderings from the NE and SE corners of Civic District. (Arcadis, Wesgroup Properties)
Renderings from the SW and NW corners of Civic District. (Arcadis, Wesgroup Properties)
