New Jersey Governor Phil Murphy recently signed Assembly Bill 3654 establishing an Office of Real Estate Economic Development and Transit-Oriented Development at New Jersey Transit. The bill requires that the new office submit a report annually directly to the governor’s office with an inventory of each parcel owned by NJ Transit including the appraised value, revenues generated, and current use. While NJ Transit is the second-largest landowner in the state, there has never been an inventory of all properties owned by the agency.
Once an inventory of agency owned land is established, the new office will be responsible for developing recommendations for economic development and transit-oriented development on these properties in order to generate revenue for the transit system. Non-farebox revenue generation was a major impetus for the bill and a recent audit found that while agency costs rose 30 percent over the last decade, funding has been cut making for an unsustainable system.
Smart growth advocates and real estate interests praised the move, believing that developing this valuable underutilized land near stations will help grow new dense urban neighborhoods and support workforce talent. Responding to news of the bill’s signing, Michael McGuinness of NAIOP, a commercial real estate trade group stated, “NJ Transit is sitting on some of the most valuable real estate in the state. This bill would help identify, convert, and monetize underutilized assets to the highest and best uses.”
For more information on TOD programs in different regions, check out TODresources.org where you’ll find Incentivizing TOD: Case Studies of Regional Programs Throughout the United States.
Recent TOD news
Here are a few things that have been happening this week with TOD projects across the country.
- Planning for equitable TOD in Sacramento (ULI)
- A TOD public parcels map for Minneapolis-St. Paul (streets.mn)
- Can Chicago’s gentrifying neighborhoods grow without displacement? Look to Fruitvale (Block Club Chicago)
- San Diego Mayor introduces parking reform measure near transit (KPBS)
- New report—transit attracts and retains jobs in cities (Smart Cities Dive)