Subsector: Land Use
Increase Employment Density
VMT Reduction Potential: 4
Cost: 1
ROI: 5
CVAG Relevancy: 4
Land Use Content: Urban, Suburban
Trip Type: Commute
Scale: Regional, Community, Site
Timing: Mid-term (3-10 years)
Implementors-Private: Developers (Employment)
Implementors-Public: Municipalities
References: California Air Pollution Control Officers Association (2024), Caltrans Smart Mobility Framework, SCAG RTP/SCS Employment Density Guidelines, GoHuman Jobs Access Planning Toolkit

Description

Vertical redevelopment and infill of underutilized employment land within designated economic development zones to co-locate jobs and housing reduces commute distances.

Implementation Details

  • Rezone key corridors to support mixed use as well as employment centers with transit access.
  • Encourage vertical redevelopment of underutilized commercial sites through upzoning and incentives for shared office/co-working hubs.
  • Include density bonuses or floor area ratio (FAR) increases in zoning codes for projects that co-locate employment and housing near transit nodes.
  • Develop Economic Opportunity Zones in jurisdictions with low job density and high commuting outflows.

Mitigation Potential

Increasing job density can lead to reductions in VMT, primarily by shortening commute distances and encouraging non-Single Occupancy Vehicle travel options.

For more details, see CALTRANS SB743 Program Mitigation Playbook, Land use – employment (density), pg. 19-21, and CAPCOA, T-2. Increase Job Density, pg. 73-75 which shows VMT reductions and density-to-VMT elasticity.

Linked Strategies

Equity Considerations

Encourage job concentration in transit-accessible areas to expand employment options for transit-dependent communities. Ensure zoning reforms that increase job density also support workforce development programs and local hiring preferences. Support the retention of service, industrial, and light manufacturing zones that currently provide blue-collar job access, while ensuring environmental health and equity for nearby disadvantaged communities.

Funding Sources

While it costs more to build more square footage, increasing the density of a project generally yields a greater profit return. It costs municipality staff time to review projects with greater density and to update zoning codes. Grant resources from the state, such as the Regional Early Action Planning grants have funded zoning updates to allow for greater density and infill development. Other funding sources include the Community Development Block Grant (U.S Department of Housing and Urban Development), the Infill Infrastructure Grant Program (California Department of Housing and Community Development), the Multifamily Finance Super NOFA (California Department of Housing and Community Development), and the California Recycle Underutilized Sites Program (California Pollution Control Financing Authority).

Examples/Case Studies

Caltrans Smart Mobility Framework

Caltrans encourages job density increases in “Smart Mobility Zones,” prioritizing vertical redevelopment and mixed-use overlays near transit to reduce trip lengths and promote sustainable access.