Maryland Department of Transportation

Maryland Transit and Housing Opportunity Act (HB894) 

Photo of Maryland Governor Signing Maryland Transit and Housing Opportunity Act (HB894)

Overview

The Maryland Transit and Housing Opportunity Act (“The Act”) was introduced by Governor Moore as part of his Housing Growth and Affordability Agenda. The Act takes effect on October 1, 2026. The goal of the Maryland Transit and Housing Opportunity Act is to limit barriers and incentivize Transit-Oriented Development (TOD) in an expedient manner. The Act establishes new tools to support and facilitate TOD and housing near transit, including several changes to State law at applicable rail transit stations and State-designated TOD sites by expanding land use and financing tools.

What the Act Does

Bill Provision Description Applies to
State-Owned and WMATA-Owned Land Subject to a development plan approved by MDOT, and developed in coordination with a local jurisdiction, a local govt. may not impose restrictions on land use, height, setbacks or similar requirements. State, Baltimore City or WMATA-owned Land contiguous to qualifying rail stations
Mixed-Use Development Jurisdictions must allow mixed-use development on land designated for residential use or appropriate commercial use. .5 mile radius of qualifying rail stations
Parking Minimums Prohibits off-street parking minimums for a residential or mixed-use development unless approved by MDOT Secretary via Parking Study .25 mile radius of qualifying rail stations

The Act expands the following financial incentives:

TOD Designation and Enterprise Zones (Applies only to qualifying rail stations): State TOD Designations issued after October 1, 2026, are automatically eligible to be designated as an Enterprise Zone. State TOD Designation areas established prior to October 1, 2026, are eligible to be designated as an Enterprise Zone upon local request.

MEDCO Funding: The MEDCO Strategic Infrastructure Revolving Loan Fund will prioritize transit-oriented development projects on State, WMATA, or Baltimore City-owned land.

Where Does the Act Apply?

The applicability of the Act varies by provision. Certain land use and parking provisions apply to development near qualifying rail transit stations. Generally, when referring to “qualifying rail stations,” these stations include:

  • WMATA rail stations
  • MTA Purple Line stations
  • MTA Light Rail and Metro
  • MARC Penn Line from New Carrollton to Baltimore Penn Station.
Other provisions apply to State-designated TOD areas or eligible projects. An interactive map identifying applicable transit stations and State-designated TOD areas will be available soon.

Resources

HB894 Final Text

MDOT Joint Development Policy – The amended Joint Development policy and authorized supporting documents establish MDOT’s process for Joint Development, including how MDOT, Baltimore City, and WMATA may develop their land and obtain approval of a Transit-Oriented Development Plan in lieu of otherwise applicable local zoning requirements, pursuant to Maryland Land Use Article §4-104.

MDOT Adequate Parking Study Policy – This policy and authorized supporting document establish the process and requirements for MDOT review of an Adequate Parking Study submitted by a local jurisdiction seeking to impose a minimum off-street parking requirement where otherwise limited under Maryland Land Use Article §4-104.

FAQ – Coming Soon

Interactive Map – Coming Soon

Webinars – Coming Soon

For more information: [email protected]