The lottery model is a stochastic competition model designed for space-limited communities of sedentary organisms. Examples of such communities include coral reef fishes, aquatic sessile organisms, and many plant communities. Explicit conditions for the coexistence of two species and the stationary distribution of the two-species model were determined previously using an approximation with a diffusion process. In this chapter, a diffusion approximation is presented for the multispecies model for communities of two or more species, and a stage-structured model is investigated. The stage-structured model would be more reasonable for communities of long-lived species such as trees in a forest in which recruitment and death rates depend on the age or stage of the individuals.