Lessons from Attempted Utopia

The towns of Fairhope, Alabama and Arden Delaware were founded in 1894 and 1900 respectively. Both were intentional communities founded to demonstrate the economic principles advocated by Henry George by holding the land in common and leasing plots on a long-term basis to individuals for private development. Both towns did collect considerable economic land rent in their early years but both towns eventually settled on policies that collect only a small portion of the economic rent for public purposes. While both towns are successful in the sense that they continue as excellent places to live, both strayed from their original purpose. This paper concludes with eight specific lessons to be learned from the experience of these two unusual towns, drawing from historical records and current real estate data.