Governor Murphy Announces $1.7 Million in Fiscal Year 2026 Transit Village Grants to Revitalize Areas Around Transit Facilities

Governor Murphy Announces $1.7 Million in Fiscal Year 2026 Transit Village Grants to Revitalize Areas Around Transit Facilities

(Trenton) – Governor Phil Murphy today announced $1.7 million in FY2026 Transit Village grants to assist six municipalities in advancing development projects that will improve the quality-of-life in five counties.

The Transit Village Program is a multi-agency smart growth initiative, in which municipalities that have transit facilities within their borders can seek to be designated as a Transit Village by developing plans for dense, mixed-use redevelopment that includes housing near their transit facility. The facility can service commuter rail, bus, ferry, or light rail. The initiative creates incentives to revitalize areas around transit stations to create attractive, vibrant, pedestrian-friendly neighborhoods where people can live, shop, work and play without relying on automobiles.

“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.”

“The New Jersey Department of Transportation and NJ TRANSIT are committed to developing public transportation that enhances our communities for decades to come,” NJDOT Commissioner and NJ TRANSIT Chair Fran O’Connor said. “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.”

Traditionally, there is $1 million available each year for Transit Village grants. This year, an additional $8 million was appropriated for Grants-in-Aid programs, specifically for the Transit Village Program, the Safe Streets to Transit Program, and for Bicycle & Pedestrian Facilities/Accommodations. Of the $8 million, $707,000 was provided for the Transit Village Program, bringing the total available funds to $1.7 million.

There are 37 municipalities in the Transit Village program. Among the benefits of the Transit Village designation are coordination among the state agencies that make up the Transit Village Task Force, as well as priority funding and technical assistance from some state agencies and enhanced eligibility for grants.

Each municipality with a Transit Village designation may submit one application for funding. Applications must be for projects located within one-half mile of the transit facility. The projects are awarded on a competitive basis taking into consideration proximity to a transit facility, walkability, bicycling, project need and equity criteria to benefit low-income and minority populations. Click here to see a list of the six municipalities receiving FY2026 Transit Village grants totaling $1.7 million.

The Transit Village Program, as well as other Local Aid state-funded grant programs, benefits residents by enabling local governments to significantly reduce or eliminate reliance on local property tax dollars to support their projects. For NJDOT news follow us on X (Twitter) @NewJerseyDOT, on the NJDOT Facebook page, or Instagram @NewJersey.DOT.

Safety is everyone’s responsibility. Watch NJDOT Commissioner Fran O’Connor’s message about making roadway safety a way of life.