A transit-oriented development (TOD) is a mixed-use residential and commercial area designed to maximize access to public transport, and often incorporates features to encourage transit ridership. A TOD neighborhood typically has a center with a transit station or stop (train station, metro station, tram stop, or bus stop), surrounded by relatively high-density development with progressively lower-density development spreading outward from the center. TODs generally are located within a radius of one-quarter to one-half mile (400 to 800 m) from a transit stop, as this is considered to be an appropriate scale for pedestrians.
Many of the new towns created after World War II in Japan, Sweden, and France have many of the characteristics of TOD communities. In a sense, nearly all communities built on reclaimed land in the Netherlands or as exurban developments in Denmark have had the local equivalent of TOD principles integrated in their planning, including the promotion of bicycles for local use.
Transit-oriented development is sometimes distinguished by some planning officials from "transit-proximate development" (see, e.g. comments made during a Congressional hearing ) because it contains specific features that are designed to encourage public transport use and differentiate the development from urban sprawl. Examples of these features include mixed-use development that will use transit at all times of day, excellent pedestrian facilities such as high quality pedestrian crossings, narrow streets, and tapering of buildings as they become more distant from the public transport node. Another key feature of transit-oriented development that differentiates it from "transit-proximate development" is reduced amounts of parking for personal vehicles.
Read more about Transit-oriented Development: TOD in Cities, Equity and Housing Cost Concerns
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