This research explores the activities of community institutions in achieving sustainable forest management (SFM) and sustained forest cover. Three institutions representing the administrative, economic, and social/traditional institutions were identified. The institutions had 30 forest management activities and satisfied about 66% of SFM Criteria and Indicators. A loss of 122 ha of forest cover was estimated over the last 30 yr, attributed to conversion of forests to built-up areas. Cooperative culture and economic incentives, among others, influenced institutions’ effectiveness and collective behavior toward achieving SFM. Coordinated strategies that can increase wood demand will motivate forest owners toward SFM.