Asset-Based Community Development, Explained
Walk into a hillside neighborhood in Lima with a clipboard and you could easily fill a page with what's missing: water connections, safe stairs, paved paths. Walk in with a different question, "What's already here?", and the list looks very different. You'll find skilled builders, neighborhood associations, families who organize work days and leaders who know every corner of the community. That is the starting point of asset based community development.
That shift in perspective, often called ABCD, changes how projects begin. In this article, you will learn where the ABCD approach comes from, the six types of assets it identifies, how it differs from needs-based approaches and how it connects to community-led construction projects in Peru and Ecuador.
What is asset based community development?
Asset based community development is an approach that starts with a community's strengths instead of its problems. It was developed by John L. McKnight and John P. Kretzmann, who co-founded the ABCD Institute at DePaul University. Their 1993 guidebook, Building Communities from the Inside Out, became the foundation of the approach.
Needs-based vs asset-based thinking
According to the ABCD Institute, traditional problem-solving often directs funders and service providers toward what neighborhoods lack. ABCD treats local strengths as the building blocks of lasting change.
| Needs-based approach | Asset-based approach | |
|---|---|---|
| Starting question | What's wrong here? | What's already working here? |
| Role of residents | Recipients of services | Leaders and contributors |
| Role of outsiders | Provide solutions | Support what the community chooses |
| Long-term effect | Risk of dependence | Stronger local ownership |
The six types of community assets
The ABCD Institute identifies six types of assets:
- Residents' skills, such as construction, organizing or teaching
- Local associations, from neighborhood committees to sports clubs
- Institutions, including public, private and nonprofit organizations
- Physical infrastructure and space, such as community halls or land
- Economic resources, from local businesses to shared savings
- Local history and culture, which shape identity and connection
How asset based community development shows up in construction projects
ABCD isn't just a theory. It shapes how infrastructure projects are chosen, built and maintained. In practice, it often begins with simple conversations: who in the neighborhood knows how to build, which groups already meet regularly and what spaces could host a work day.
Communities choose the project
In an asset-based model, residents decide what their neighborhood needs most. That's central to how Safe Homes Movement works. Our article on the role of community explains why local involvement matters in building safe homes.
The 50/50 model
Every Safe Homes project follows a 50/50 model. The community identifies the need and works on site, contributing labor, organization and local knowledge. Local architects and engineers lead design and supervise construction. Visiting students join that team, adding hands and learning along the way.
Avoiding dependence
When outsiders arrive with ready-made solutions, projects can create dependence instead of strength. Our post on the pitfalls of international development explores how to avoid that. You can also learn more about community development projects and how students can get involved responsibly.
What students learn from an asset-based approach
For students in engineering, architecture and social development, ABCD changes how you see your role. Instead of arriving as the expert, you arrive as a learner and contributor.
- Listening first: residents know their terrain, history and priorities
- Recognizing local expertise: many community members are experienced builders
- Working as a team: local professionals, residents and students each bring something
- Thinking long term: projects the community owns are more likely to be maintained
On the development service learning trip with Safe Homes Movement, powered by MEDLIFE, students join community projects in Lima, Cusco and Tena. Trips run in summer, winter and spring. The week includes an orientation, a Reality Tour of the communities and several build days alongside residents and local architects and engineers.
Build with communities, not for them
Asset based community development reminds us that every neighborhood has strengths to build on. Seeing that in practice, on a real project, changes how you think about development.
Fill out the form to get dates, eligibility details and next steps for the Development Service Learning Trip.
Frequently asked questions
What is asset based community development?
Asset based community development, or ABCD, is an approach that starts with a community's existing strengths, such as residents' skills, local associations and institutions, rather than focusing only on its needs.
Who created asset based community development?
ABCD was developed by John L. McKnight and John P. Kretzmann, co-founders of the ABCD Institute at DePaul University. Their 1993 guidebook Building Communities from the Inside Out introduced the approach.
What are the six types of community assets?
The ABCD Institute lists residents' skills, local associations, institutions, physical infrastructure and space, economic resources, and local history and culture.