A land trust is a product through which a landowner who lacks development know-how or financial resources trusts his or her land to a trust company for the purpose of earning profits by efficiently utilizing the land. A trust company combines the landowner’s opinions and expertise to finance the construction, develop residential land or build a building, and then to return proceeds from the sale or lease of the land to the landowner.
Advantages
- 01 Effective land development by experts even without funds or construction experience.
- 02 Avoidable financial burdens and procedural hassles from business operation.
- 03 Maximizing profit of landowner.
- 04 Salability can be raised as a business operator with high creditworthiness directly sell and lease real estate.