
Mixed-use development places different land uses, such as residential, employment, retail, services, and recreation, within close proximity to one another. Increasing development density places more residents, workers, and destinations within a given area. Together, these strategies can reduce travel distances and make walking, bicycling, and transit more viable. Mixed-use and higher-density development are particularly effective when located in established centers, along transit corridors, and near major destinations.


While mixed use refers to providing diversity of land uses within close proximity to each other, density refers to allowing for a greater concentration of buildings in a given area. Mixed-use development and density are often implemented together and quantification methods often focus on increasing density. These strategies reduce VMT by placing greater amounts of housing, jobs, shops, and services within close proximity of each other. This proximity allows people to complete daily trips without relying on a car, encouraging walking, cycling, or use of public transit.
For more details, see CAPCOA, T-1. Increase Residential Density, pg. 70-72, CAPCOA, T-2. Increase Job Density, pg. 73-75 and CALTRANS VMT Mitigation Program, Residential and Employment Density, pg. 17-21, 25-27 for VMT reduction quantification.


Equity-focused implementation should tie incentives to affordable housing requirements, particularly in high-opportunity transit areas. Prioritize TOD projects in historically excluded communities and ensure that incentives support displacement prevention, such as preserving existing affordable units or supporting community land trusts. Fast-tracked approvals should be paired with public engagement to reflect community needs.
Mixed-use and higher-density development can be supported through local development incentives, density bonuses, expedited permitting, reduced or deferred development fees, and public infrastructure investments. State and federal funding can support complementary affordable housing, transportation, and infrastructure improvements, including the Affordable Housing and Sustainable Communities Program, Infill Infrastructure Grant Program, Permanent Local Housing Allocation, Community Development Block Grant, HOME Investment Partnerships Program, and federal transit-oriented development planning resources. Local jurisdictions can also use zoning incentives and public-private partnerships to encourage mixed-use development in appropriate locations.

City of Modesto – Corridor Mixed-Use Infill
Modesto’s housing and planning policies explicitly promote mixed-use infill development along major transportation corridors. The City’s policies call for corridor studies, flexible development standards, density bonuses, and other incentives while emphasizing pedestrian-oriented building placement and public spaces. The City also encourages compact, multi-story residential infill along major transportation corridors.
Seventh Street Village – Downtown Modesto
Seventh Street Village demonstrates mixed-use development at the project level. The project includes 79 housing units, commercial/community space on the ground floor, and connections to transit and active transportation. The project is planned as the first mixed-use development in Downtown Modesto.