Abu Dawud Book 11, Hadith Number 2872.

Chapter : On a man who institutes a religious endowment.

Narated By Ibn ‘Umar : ‘Umar got some land in Khaibar, and he went to the Prophet (PBUH) and said: I have acquired land in Khaibar which I consider to be more valuable than any I have acquired; so what do you command me to do with it? He replied: If you wish, you may make the property an inalienable possession, and give its produce as sadaqah (charity). So ‘Umar gave it as sadaqah declaring that the property must not be sold, given awa, or inherited; (and gave its produce as sadaqah to the devoted) to the poor, relatives, the emancipation of slaves, Allah’s path, travellers. The narrator Bishr added: “and guests”. Then the agreed version goes: No son being committed by one who administers it if he eats something from it in a reasonable manner, or gives something to a friend, who does not make his own property. The narrator Bishr added: “(provided) he is not storing up goods (for himself).”