Why Land Banks Matter

For neighborhoods burdened by systemic disinvestment; vacant, abandoned, and deteriorated properties often become symbols of neglect. They pose social, economic, health, and environmental hazards to communities and residents. Addressing these properties requires intervention at multiple points and systems—and one powerful tool many communities use to address vacancy and promote equitable development is the land bank.

Land banks are public entities with the unique authority under state law to acquire, manage, and transform problem properties, prioritizing community goals over profit. The more than 300 land banks across the country perform integral work to create sustainable solutions for communities dealing with more than their fair share of vacant properties.

In our new report, The Road Ahead for Land Banks: Opportunities for Growth and Greater Equity, we explore the critical role land banks play in building just, inclusive, and resilient places. Here are three reasons why land banks matter more than ever and why this report is essential for anyone invested in community revitalization.

1. Land Banks Prioritize Community-Driven Outcomes

Land banks were created because, in many of these communities, the real estate market alone won’t fix the problem. Put simply, there are too many vacant properties in poor condition and too many obstacles that prevent people and businesses from reusing those properties and reviving their communities.

While traditional real estate practices usually prioritize the highest bidder, land banks focus on aligning property sales with community goals and eliminating obstacles to property reuse. They work with local leaders and residents to ensure that properties are transitioned to responsible owners, resulting in long-term benefits like stable housing and economic opportunity.

For example, to address the shortage of affordable housing in Newark, New Jersey, the Newark Land Bank converts vacant, tax-delinquent single-family homes into homeownership opportunities for people who hold Housing Choice Vouchers—and established provisions to keep those homes affordable for years to come. (see pg. 31 of The Road Ahead)

2. Land Banks Advance Economic and Racial Equity

Vacant properties disproportionately affect communities of color, a result of decades of racist housing policies and disinvestment. The Road Ahead highlights how land banks can advance racial justice, ensuring that historically marginalized communities benefit from revitalization efforts.

Land banks like the Lucas County Land Bank in Toledo, Ohio demonstrated their flexibility and responsibility to tailor their programs to the unique needs of disinvested communities; they created a Neighborhood Justice Fund to help residents of these communities access grants for projects ranging from minor home repairs to full rehabilitations of land bank properties (pg. 61).

The other part of successful land banking that addresses racial and economic inequity is community engagement. For example, learn how the Calhoun County Land Bank in Michigan created a neighborhood advisory committee to get direct community input on challenges residents of Washington Heights faced—and acted on opportunities to serve them better (pg. 58). By actively involving residents in decision-making processes and creating opportunities for local leadership, land banks ensure that the people most impacted by vacancy are at the center of revitalization efforts.

3. Land Banks Provide Innovative Solutions to Persistent Problems

With special powers like being able to acquire tax-foreclosed properties cost-effectively, clean title, and eliminate back taxes and liens, land banks can break the cycle of neglect.

Land banks are not just about property transactions—they are about transformational change. The report shares inspiring case studies of land banks across the country that are using innovative approaches to tackle issues like climate resilience, racial homeownership gaps, and workforce development. The Road Ahead shares dozens of examples of land banks returning these properties to uses that benefit the community, like creating opportunities for homeownership (pg. 31), green spaces (pg. 30), new businesses (pg. 46), and even a community apiary (pg. 36)!

Download the Report

The Road Ahead for Land Banks contains actionable strategies and inspiring case studies that demonstrate the powerful role land banks play in community revitalization. Whether you are a land bank leader, a community advocate, or someone interested in making your community a more vibrant place, this report offers a guide to help you make meaningful change. Download this free resource today!

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The National Land Bank Network at the Center for Community Progress connects land bank leaders to the tools, networks, and resources they need to return vacant, abandoned, and deteriorated properties to productive use. As the first membership-based community of practice for the field of land banking, NLBN supports the over 300 land banks and land banking programs throughout the United States with in-person and online convening, research, technical assistance, and equity-focused education. 

If you’re struggling with vacant, abandoned, and deteriorated properties in your community, check out our free online resources, webinars, and publications. We also provide customized, expert guidance to state and local governments to assess the state of vacant properties in your community and recommend policy and practice solutions for equitable neighborhood revitalization.