Islands Trust is a unique regulatory framework.
Established in 1974 under the Islands Trust Act, the Islands Trust has near-exclusive authority over local land-use, development, subdivision, and density regulations on the Salish Sea islands.
The Salish Sea islands are a special part of our province and the world. They are home to lush rain forests, pristine streams, and a wide diversity of wildlife. Although much of this territory is privately owned, it can still be preserved and protected.
The Islands Trust is a special-purpose government established in 1974 in response to concerns over potential environmental effects of residential subdivisions on British Columbia’s Gulf Islands.1 Pursuant to the Islands Trust Act (Act), the Islands Trust has near-exclusive authority to make local land-use and subdivision regulations, effectively replacing the regional district’s authority in this area.
The Islands Trust’s legislative mandate to “preserve and protect” means that land-use decisions often emphasize environmental protection, character preservation, and stewardship of the Gulf Islands’ unique and sensitive ecosystems over growth and development.
As a result, properties within the Islands Trust are often subject to tighter land-use, development, subdivision, and density controls compared to other BC markets.
Where Is the Islands Trust?
The Islands Trust area covers an area of 5,200 square kilometres, encompassing the waters and islands of the Salish Sea between Southern Vancouver Island and Mainland BC.2 Jurisdiction is divided into 13 Local Trust Areas (LTAs) and one Island Municipality (Bowen Island):
- Ballenas-Winchelsea Islands
- Bowen Island
- Denman Island
- Gabriola Island
- Galiano Island
- Gambier Island
Hornby Island - Lasqueti Island
- Mayne Island
- North Pender Island
- Salt Spring Island
- Saturna Island
- South Pender Island
- Thetis Island
To view a list of islands and their corresponding LTAs, use the Find Your Local Trust Area tool available on the Islands Trust website.
Islands Trust Jurisdiction
The Islands Trust’s land-use authority is exercised through 12 Local Trust Committees (LTCs), each responsible for its own LTA. The Ballenas-Winchelsea LTA does not have a standalone LTC, and the Islands Trust Executive Committee acts as the de facto LTC.3
Similarly, the municipality of Bowen Island does not have a LTC, and the Bowen Island Municipal Council acts as the local planning authority. While Bowen Island has the full functions of a municipality, it must have regard for the object of the Islands Trust in its actions, bylaws, and permit decisions. For example, unlike municipalities outside the Islands Trust, Bowen Island submits its Official Community Plan bylaws to the Islands Trust Executive Committee for approval.4
While the larger regional districts within the Islands Trust area remain responsible for service delivery and infrastructure (except for the Bowen Island Municipality, which operates its own local services), all LTCs and island municipalities serve as distinct local planning authorities. Specifically, each LTC and island municipality is responsible for:
- preparing and adopting Official Community Plans (OCPs), including the designation of Development Permit Areas (DPAs);
- creating and passing zoning and subdivision bylaws;
- issuance of development permits;
- creating and passing soil removal bylaws; and
- reviewing and issuing Temporary Use Permits (TUPs).5
Islands Trust Land Use and Planning Decisions
Land use decisions within the Islands Trust area differ fundamentally from those in other parts of BC because, pursuant to the Act, the Trust’s statutory mandate is to “preserve and protect the trust area and its unique amenities and environment.” While regional districts often take a more growth-oriented approach, the Islands Trust prioritizes ecological preservation in zoning, density, and development decisions.
A leading example is the legal battle between forestry giant MacMillan Bloedel and the Galiano Island Trust Committee (GITC) in the 1990s.6 Beginning in the 1950s, MacMillan Bloedel acquired substantial portions of Galiano Island for forestry and, by the early 1990s, owned approximately 55 per cent of the island. When the company sought to subdivide and sell its forest lands for residential development, the GITC responded with stringent zoning bylaws that removed the previously permitted use of one-family dwellings and substantially increased minimum parcel sizes.
MacMillan Bloedel successfully challenged the bylaws at the BC Supreme Court, which found that they exceeded the trust committee’s powers and amounted to de facto expropriation without compensation. However, the BC Court of Appeal overturned that decision two years later. In doing so, it established that LTCs have broad statutory authority to enact zoning bylaws within their legislative mandates, even where those bylaws deliberately disrupt commercial activities or prevent proposed residential development. The BC Court of Appeal decision abruptly halted subdivision plans for the landowners who had purchased lots from MacMillan Bloedel following the trial decision in 1993.7
Subsequent case law has consistently reaffirmed the authority of LTCs to enact and enforce land-use bylaws consistent with the Islands Trust mandate.8 Most recently, in 2025, the BC Court of Appeal rejected a challenge by private owners of the same former MacMillan Bloedel forestry lots, confirming that local zoning prohibitions prevailed over modern provincial forestry regulations permitting residential use on managed forest or forest reserve land.9 Therefore, residential development on those lands remains prohibited to this day.
Text taken from BCREA article prepared by Jude Chow
