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FTA Guidance on Joint Development

FTA Guidance on Joint Development (Circular 7050.1A) provides guidance and clarification for using FTA financial assistance or FTA-assisted real property for joint development. The circular also discusses the statutory criteria for project eligibility as joint development. It updates the August 2014 Circular on Joint Development. (FTA is seeking public comment on proposed changes to its Joint Development guidance. The changes would increase flexibility for transit agencies to pursue joint development projects, resuilting in more value capture opportunities that help create value for both transit systems and surrounding communities. Comment by June 3.)

FTA Circular 7050.1A includes the following elements:

  • Defines and clarifies the term "joint development"
  • Explains how a joint development project can qualify for FTA assistance
  • Describes the legal requirements applicable to the acquisition, use, and disposition of real property acquired with FTA assistance
  • Outlines the most common crosscutting requirements applicable to FTA-assisted joint development projects
  • Describes FTA’s process for reviewing joint development project requests

To be eligible for FTA funding or use of FTA-assisted property, joint development projects must:

  • Create an economic benefit by enhancing economic development or incorporating private investment;
  • Provide a public transportation benefit by either
    • enhancing the effectiveness of a public transportation project and relating physically or functionally to the public transportation project, or
    • establishing new or enhanced coordination between public transportation and other transportation;
  • Provide a fair share of the produced revenue for public transportation; and
  • Provide that a person occupying space in a facility constructed with FTA funds must pay a fair share of the costs of the facility through rental payments or other means.

Not all joint development projects use FTA funding or FTA-assisted real property or other assets. FTA Circular 7050.1A applies only to joint development projects assisted by FTA, and which, therefore, have an FTA financial interest.

Last updated: Thursday, April 18, 2019