PROTOCOL SERIES Diversification of Ownership and Tenure This protocol is one of a series we have issued to help you put the ’s Land Rights and Responsibilities Statement into practice.

The Land Rights and Responsibilities The way land is owned and used affects the quality of life for everyone in . The LRRS is based Statement (LRRS) sets out the vision on the belief that Scotland’s land is a resource for a strong and dynamic relationship for everyone in Scotland and should contribute between Scotland’s land and its people. to economic, environmental and social goals within a human rights approach. Realising and It is the first of its kind anywhere in the applying land rights and responsibilities can reduce world. Land rights and responsibilities inequality and bring mutual benefit to landowners, apply to both urban and rural Scotland land managers and communities. and are about owning, managing and The LRRS recommends that better information using land in a fair way that benefits about land should be available to help with more everyone in Scotland. It states that informed decision making, as this will benefit the local economy, environment and society. People the people and organisations that should have confidence that there is a fair and make decisions relating to land should balanced system of decision making in relation to land and have the opportunity to be engaged recognise and act in line with their in decisions relating to land that will affect them responsibilities, as well as their rights. and their local environment. GOOD PRACTICE PROGRAMME – Diversification of Ownership and Tenure

There are six principles in the LRRS. This protocol This protocol aims to encourage landowners to on diversification of ownership specifically supports support the diversification of land ownership principle 2, but also principles 1 and 3: and tenure to further sustainable development through promotion of one or more of the following: community empowerment, economic • Principle 1: “The overall framework of land development, social wellbeing and/or rights, responsibilities and public policies environmental enhancement. This protocol should promote, fulfil and respect relevant invites landowners to undertake regular reviews human rights in relation to land, contribute of their holdings to assess business needs and to public interest and wellbeing, and balance consider what opportunities there might be to work public and private interests. The framework with others to make more productive use of land should support sustainable economic or buildings to meet the local area’s needs and development, protect and enhance the aspirations. Landowners are invited to consider environment, help achieve social justice and giving local parties such as residents, businesses build a fairer society.” or community groups priority in purchases, leases and other collaborative working arrangements. • Principle 2: “There should be a more diverse Taking a balanced view that considers the pattern of land ownership and tenure, with environmental, social and cultural benefits, as more opportunities for citizens to own, lease well as economic, is likely to be advantageous and have access to land.” in helping to develop inclusive and resilient local economies with strong social cohesion including • Principle 3: “More local communities should retention of young and working age residents have the opportunity to own, lease or use and thriving local environments. buildings and land which can contribute to their community’s wellbeing and future This protocol supports positive behaviours by development.” everyone involved in decisions relating to land. It aims to ensure that mutual interests are taken into account in a reasonable and fair way, and to make sure that interactions take place in a spirit Purpose of this protocol of respect and understanding.

The purpose of this protocol is to set out how • Where we use the word should, we expect landowners can help achieve a more diverse everyone involved to follow the approach pattern of land ownership and tenure. This protocol described, unless it conflicts with their applies to all landowners in Scotland. It sets out legal duties. reasonable expectations for landowners in relation to assessing use and ownership of their current • Where we recommend a course of action landholdings as part of their normal business it means this is good practice, but we planning and in taking measures to provide recognise that other approaches may be opportunities for acquisition and use of land equally effective. by a broad range of interested parties.

A wide and diverse availability of land and This protocol is effective from the date of issue buildings allows businesses, organisations, until we withdraw or revise it by following the individuals and communities, to pursue projects review process set out below and publishing of all scales and purposes. Access to land can a notice on our website. provide a range of benefits including supporting sustainable local economic development, providing spaces for social and amenity activities, and improving access to green spaces. For landowners, diversifying land holdings can contribute to a more varied asset base, generate funds to reinvest elsewhere, improve public profile and relationships with the community and provide opportunities for innovation and collaboration. GOOD PRACTICE PROGRAMME – Diversification of Ownership and Tenure

Who this protocol applies to Definitions

This protocol applies to: When we talk about community, we mean the individuals who live in a particular place. This can be an urban or rural area. It can be defined • Owners of land, including companies, as whole towns, single streets, whole islands or trusts, public bodies, non-governmental peninsulas, other large geographic areas or small organisations, sole traders, charities, and villages or neighbourhoods. community landowners, but excluding

individual homeowners In some cases, such as for Asset Transfer requests, a community of interest can make a request for • Land managers including tenants or ownership, use or lease of land to relevant public agents or other people employed or bodies. These are communities of people who contracted by the owner to look after are connected through a shared interest rather land or property on their behalf than by place. However, the focus of this protocol is on those who live locally and may wish to own, • Community councils representing lease or use land in the local area, rather than the area within which the land and/or on communities of interest. a related community sits Land includes buildings and other structures, • Relevant constituted community land covered with water, and any right or interest organisations who have an open in or over land, and can be in either an urban or membership, demonstrate community a rural context. control, and who represent a defined geographic area When we refer to diversification, we mean an increase in the number and variety of local • Members of a community who are residents, businesses, and community groups considering taking on ownership, use exercising control over land and buildings. This or lease of land may be through ownership, lease or other forms of collaborative working. • Residents and businesses who live in or are based in the local area. When we mention collaborative working we mean any arrangement between two or more parties that facilitates the sharing and/ or use of resources. Collaborative working can include tenancies, short-term leases, partnership arrangements, management agreements and informal arrangements. There are lots of reasons why a collaborative approach may be taken and this approach can bring mutual benefits. GOOD PRACTICE PROGRAMME – Diversification of Ownership and Tenure

Specific Expectations We expect everyone covered by this protocol to follow the specific expectations as set out in our protocols on Community Engagement in Decisions Relating to Land and Transparency of Ownership and Decision-Making and meet the following conditions:

a. Landowners and managers should consider e. When a landowner is considering the whether land and buildings are being transfer or lease of property, they should maintained and used productively in a way consider the different ways in which they that supports sustainable development. They could do this. In the first instance, those should consider whether land and buildings with existing pre-emption rights should be are managed in a way that contributes to their approached. Secondly, landowners should governance and management objectives and consider offering sitting tenants a right whether there are opportunities to work with of refusal. Finally, we recommend that others to make more productive use of land or landowners consider opportunities to buildings. We recommend that self-assessment work with the community to assist in of landholdings is part of regular business the delivery of its social, economic and planning and review, if it is not already. environmental aspirations, and identify the steps that need to be taken to realise b. We recommend that landowners take account these opportunities. of the wider benefits that can be delivered when making decisions on transferring land f. When a landowner is considering or buildings. These benefits can be to the transfer of land or buildings in a sale that economy, society, or environment, and may will take place off the open market, they be long-term benefits that could outweigh should make the local community aware the value of short-term gains. that this is the case where possible. When landowners are considering private sale c. Landowners should consider proactive or are considering an approach by requests for sale or lease of property when developers, they should, where possible, they are reasonably made by a community publicly acknowledge such approaches. organisation. They should be open and transparent in their decision-making processes g. Title conditions and clawbacks are and provide clear reasons for their decisions, sometimes used when land is transferred, where this is possible. particularly if the land is sold at a discount. Landowners should ensure that title d. When a change in ownership of land or conditions and clawback arrangements buildings is not feasible or appropriate, are appropriate and proportionate and landowners and managers should consider should avoid those that will have an adverse what the opportunities are for leasing, impact on the viability or sustainability of partnership working, or other collaborative businesses, community projects or other working arrangements. activities on the land. GOOD PRACTICE PROGRAMME – Diversification of Ownership and Tenure

Putting this protocol Review into practice We have developed this protocol with the Good Practice Advisory Group members – We may sometimes produce practice guidance and Community Land Scotland, Development Trusts case study examples to help you put this protocol Association Scotland, National Farmers’ Union into practice. We may publish these on our own Scotland, Scottish Land and Estates, and Scottish website, or we may work with other organisations Property Federation. which represent the interests of a particular sector. We will continue to work with the Good Practice If you would like further information on how to Advisory Group to keep this protocol under implement this protocol, please get in touch with us. review. Our future work programme and the recommendations we make to Scottish Ministers in relation to the LRRS will be guided by how this Telling us about protocol is put into practice. your experience

If you experience a situation which differs Further Information significantly from the principles and specific expectations set out in this protocol, please For more information, please contact us with details and supporting evidence. visit the following websites:

Where appropriate we will provide advice, and www.landcommission.gov.scot work with you to deal with any difficulties and www.gov.scot/policies/land-reform help improve practice. Our main role will be to support you in putting in place good practice Guidance on assessing best value and developing confidence and capacity among in relation to Asset Transfers stakeholders, and to influence future development of policy, protocols and guidance.

We are keen to hear of and share positive examples of good working relationships, and welcome information about successful collaboration between landowners and local “There should be communities. These case studies can help a more diverse pattern of tell other landowners, managers and community organisations about good practice. land ownership and tenure, with more opportunities for To share your experience please citizens to own, lease and contact the Good Practice Team: have access to land.” Scottish Land Commission Longman House 28 Longman Road , IV1 1SF [email protected] 01463 423 300

Issued by the Scottish Land Commissioners, August 2020