Governor Phil Murphy has announced that $1.7 million in Transit Village grants will be distributed to six municipalities for fiscal year 2026. The funding is intended to support development projects aimed at improving the quality of life in five counties.
The Transit Village Program is a collaborative effort among several agencies, encouraging municipalities with transit facilities—such as commuter rail, bus, ferry, or light rail—to seek designation as a Transit Village. This designation requires plans for dense, mixed-use redevelopment that includes housing near transit hubs. The program aims to create pedestrian-friendly neighborhoods where residents can live, shop, work, and play without depending on cars.
“The Transit Village program will further promote walkable neighborhoods and generate economic growth for surrounding communities,” Governor Phil Murphy said. “Investing in transit-oriented development revitalizes commuter hubs, creates job opportunities, and makes neighborhoods stronger and safer.”
NJDOT Commissioner and NJ TRANSIT Chair Fran O’Connor added: “The New Jersey Department of Transportation and NJ TRANSIT are committed to developing public transportation that enhances our communities for decades to come. Under Governor Murphy and the Legislature’s leadership, the extra funds allocated to the Transit Village program will help redevelop pedestrian-friendly infrastructure near our transit facilities to make them more accessible and safer for everyone.”
Typically, $1 million is available each year for these grants. However, this year an additional $8 million was appropriated for Grants-in-Aid programs—including the Transit Village Program itself as well as Safe Streets to Transit and Bicycle & Pedestrian Facilities/Accommodations programs. Of this amount, $707,000 was directed specifically toward the Transit Village Program, increasing total available funds to $1.7 million.
Currently there are 37 municipalities designated within the program. Benefits include coordination among state agencies on the Transit Village Task Force as well as priority access to funding opportunities and technical assistance from some state agencies.
Each designated municipality may submit one application per year for projects located within half a mile of their transit facility. Projects are awarded competitively based on proximity to transit services, walkability features, bicycling accommodations, project need, and equity criteria designed to benefit low-income and minority populations.
Local governments benefit from these grant programs by reducing or eliminating reliance on local property taxes when supporting such projects.
For more information about NJDOT initiatives or updates regarding these grants follow @NewJerseyDOT on X (Twitter), visit their Facebook page or Instagram account @NewJersey.DOT.
