Combining HDIP and OZ for Transformative Transit-Oriented Development in Gateway Cities

This policy brief is the second in a series exploring state and local level approaches to generating transformative transit-oriented development (TTOD) in Gateway Cities.

Here, our thinking is that the state’s commuter rail system would receive much more use—and spur greater, more transformative Gateway City investment—if rail station areas were primed for compact TOD. The first paper, published in November 2018, examined the potential of the federal Opportunity Zone (OZ) program and proposed strategies for maximizing this new tool with state- and local-level TOD policies. With the second paper in this series, we look at the potential of the state Housing Development Incentive Program (HDIP) and discuss approaches for leveraging this tool alongside Opportunity Zone incentives to generate TOD in the targeted Gateway Cities.