Population is expected to double in the Central Cascades region of Washington State in the next 100 years. Cities and counties are looking beyond zoning for new tools to direct this growth into appropriate areas while protecting natural areas and respecting property rights. The Cascade Agenda has identified Transfer of Development Rights – TDR – as a key strategy in its plan for an economically strong and environmentally sound future for our region.

What is TDR?

Transfer of Development Rights (TDR) is a market-based mechanism that promotes responsible growth, while conserving areas such as prime agricultural and environmentally sensitive lands. It is designed to steer growth -- not to limit or stop development.

Through individual, voluntary transactions, development rights are transferred from our region’s privately owned farmland, forestland and natural areas (sending sites) to areas that can accommodate additional growth (receiving sites). Landowners in sending areas receive compensation for giving up their right to develop, while developers in receiving areas pay for the right to a bonus in the receiving area, such as additional height or density than would otherwise be allowed. When development rights are removed from a parcel, a conservation easement is placed on the sending site.

Why Consider TDR?

Equity and compensation. In contrast to zoning restrictions, TDR compensates landowners who give up their right to develop. TDR is voluntary and fair.

Private funding. TDR uses the market to generate private funding for land conservation, helping to augment and leverage available public funds and programs.

Permanence. While zoning regulations can change over time, TDR protects property permanently and allows resource uses to continue.

Cost effectiveness. By focusing development in areas that already have infrastructure capacity, TDR can reduce a region’s infrastructure costs and more efficiently accommodate growth.

Frequently Asked Questions

How do landowners benefit from TDR? Landowners receive compensation for selling their development rights; developers in receiving areas gain the option of building bigger or denser projects.

What is allowed on properties protected under TDR? When landowners agree to sell their development rights, a conservation easement is applied to a property; this easement only restricts the right to develop land. The property remains in private ownership for the use and enjoyment of its owner. Economic uses of the property, such as farm and forestry may continue.

What is the legal basis for TDR? Washington State law provides general authority under the Growth Management Act, chapter 36.70A RCW (“GMA”) for local governments to adopt TDR programs. The GMA states that local comprehensive plans “should provide for innovative land use techniques” such as TDR in carrying out the purposes of the act. TDR can also help meet the core goals of the GMA by focusing growth in already urbanized areas and protecting valuable resource lands from development. In legal challenges to individual TDR programs at the national level, TDR has been upheld by both state and federal courts.

How can I learn more about TDR? The Cascade Land Conservancy is working with cities and counties throughout the Puget Sound/Central Cascades region to support the development of TDR programs.

For more information, please contact:

• Jeremy Eckert at 206.905.6910 or jeremye@cascadeland.org

  
  

  PowerPoint Presentation The Cascade Agenda and Use of Transferable Development Rights