Since the 1970s the state has promoted development policies and programs that maintain and enhance Vermont’s historic development pattern of compact centers surrounded by a rural landscape. The Neighborhood Development Area program builds on this tradition by providing special permit and tax incentives for communities and developers that commit to building mixed-income housing within and adjacent to designated downtowns, village centers, new town centers, and growth centers. For an overview of the benefits of Neighborhood Development Area designation click here. To help find out if a project qualifies as a priority housing project that is exempt from Act 250 click here.
The Neighborhood Development Area designation encourages municipalities and/or developers to plan for new and infill housing in the area within walking distance of its designated downtown, village center, new town center, or within its designated growth center and incentivizes needed housing, further supporting the commercial establishments in the designated centers.
Areas eligible for designation must be within a neighborhood planning area defined as an area surrounding an existing state designated area, extending a 1⁄4 mile from village centers, and new town centers, and a 1⁄2 mile from downtowns (and areas within designated growth centers). Mapped neighborhood planning areas may be viewed at http://smartgrowth.vermont.gov/
- Neighborhood Development Area Annual Report
- Neighborhood Development Area Application and Design Guidelines - guidance document for applying for designation.