Public transportation not only provides essential mobility to millions of Americans, but it also anchors communities and drives economic development.

“Transit-oriented development” (TOD) refers to the way public transportation helps drive new investment in residential and commercial development along transit lines because ready access to public transportation helps attract new residents and businesses alike. TOD neighborhoods include a mixture of residences, stores, offices, and services, all located within a half-mile of public transit, and they are helping transform communities—and lives—throughout the nation.

Households in transit-oriented neighborhoods spend, on average, 15 percent of their income on transportation, compared to 28 percent in neighborhoods without public transit access. In addition to lowering transportation costs, transit-oriented development:

• Reduces strain on roads and highways—and helps limit traffic congestion
• Promotes public health by supporting walking, cycling, and community interaction
• Helps businesses attract both customers and employees
• Revitalizes neighborhoods and supports housing affordability
• Reduces air pollution and limits sprawl

Federal Transit Funding Supports TOD

The 2015 Fixing America’s Surface Transportation (FAST) Act includes key provisions to support transit-oriented development. The FAST Act reauthorized and expanded the Transportation Infrastructure […]