An effort in Colorado to create more housing in areas where there is an easy access to transportation has now secured the signature of Democrat Governor Jared Polis.
The legislation, House Bill 26-1065, will make it possible for local governments to create transit investment areas promoting the development and construction of housing.
Consequently, those districts will be eligible for tax credits, with upwards of $8.3 million in such credits offered on a yearly basis.
“Transportation and housing go hand-in-hand,” Polis remarked upon signing the bill, adding that the legislation will have the effect of “unleashing amazing livable spaces for people to thrive in.”
Applicants for the credits will be required to include maps of the given project area, and a description of the project in question with estimated costs.
Supporter of the legislation, Democrat Speaker Julie McCluskie, said the bill “creates a pathway for local governments to boost funding for multimodal transit systems and housing that Coloradoans can afford so that we can better meet the needs of our communities.”
The Transit Investment Area Act will target the construction of below market housing near bus stations, rail lines and other hubs of transportation, with a focus on rural areas.
As written, the legislation will allow credits of up to $8.3 million for each calendar year between 2027 and 2033.
June 2, 2026
By Garry Boulard
Photo courtesy of Unsplash
