There is an exciting initiative developing in Bairnsdale, Victoria where some passionate community members are seeking to buy and reinvigorate a local site and building. They recently held a community meeting to share the results of their investigations and invite ideas and participation from the wider community. There was great interest and many ideas with the potential for an exciting community led opportunity.

Our colleague Meaghan Burkett was invited to speak and share some ideas and options for asset ownership and funding. She shared two key lessons and some examples. 

Firstly, community owned assets are valuable and create lasting local benefits. This is because capital assets underpin economies and whoever owns and controls them determines where the benefits flow. By owning assets communities gain essential infrastructure for living, running businesses, and providing services, revenue streams, commercial opportunities, long-term asset appreciation, the ability to attract further investment, increased access to finance by leveraging assets as security, greater social equity through inclusive ownership

Secondly, their aspiration is possible. Communities across Australia have taken similar steps—purchasing and managing local assets for community benefit using community ownership, management, and funding models. There are many great examples, here’s a couple that show different approaches.

Yackandandah Community Development Company

• Structure: Unlisted Public Company 
• Ownership: Community Shareholders 
• Funding: Share Issue & Initial Government Support

Castlemaine Community Cooperative

• Structure: Non-Distributing Co-operative (No Share Capital)
• Ownership: Members 
• Funding: Loans & Debentures

Cobargo Community Development Corporation

• Structure: Public Company limited by guarantee, Charity Registered
• Ownership: Broad based community ownership with a representative board of directors.
• Funding: Government Grant ($20M)

Traditional Finance

A traditional loan may still be a good option, but using a credit union or mutual ensures profits are reinvested into the community rather than external shareholders.

So, you can see from these examples that community asset ownership is achievable and can be structured in different ways to suit your needs. 

What assets exist in your community that could be acquired and managed for community benefit?