The FTA Guidance on Joint Development updates previous guidance and becomes effective Aug. 14. In addition to “increasing flexibility for transit agencies that receive FTA funding to pursue joint development projects, the guidance reduces FTA involvement in joint development agreements negotiated between project sponsors and their partners, streamlines FTA’s project eligibility review process, and clarifies prior guidance.”
Joint development projects involve the construction of commercial, residential, or mixed-use projects near transit or on transit system-owned land. The public and private investments are coordinated between transit agencies and developers to build the project, producing a revenue stream for both the developer and the transit agency.
The new guidance aims to encourage projects that contribute to the nation’s economic recovery from the COVID-19 emergency.