Strategic Growth and Neighborhood Centers

Colorado is growing, and with that growth comes the need for thoughtful planning that supports vibrant communities, protects natural resources, and makes the most of public investments. The Department of Local Affairs (DOLA) is advancing this vision through a combination of statewide reports, new planning requirements, and a voluntary incentive program called Neighborhood Centers. Together, these efforts aim to promote mixed-use, pedestrian-oriented development that is both fiscally and environmentally sustainable.

This page outlines key elements of Colorado’s approach to strategic growth, including new comprehensive planning requirements, upcoming statewide reports, and how Neighborhood Centers can help communities attract investment, enhance livability, and prepare for the future.

Neighborhood Centers

Neighborhood Centers are vibrant, mixed-use areas that bring together housing, jobs, community spaces, and transportation options in Colorado’s cities and towns. Whether already well-established or in the process of being reimagined, these walkable, bikeable neighborhoods reflect a vision for strategic, place-based growth. As outlined in SB24-174 and HB24-1313, Neighborhood Centers are voluntarily designated by local governments and are designed to support long-term partnerships, coordinated investment, and a higher quality of life across the state.

Through this interagency incentive program, the Department of Local Affairs (DOLA) and partner agencies will work with communities to identify and invest in areas that align with Colorado’s goals for sustainable development. By supporting mixed-use, pedestrian-oriented development outside of designated Transit Center areas, Neighborhood Centers help reduce costs, conserve resources, and enhance livability. On June 30, 2025, DOLA published Version 1 of our Guidance for Neighborhood Centers and announced a Pilot Designation Opportunity.

Learn about Neighborhood Centers

Planning for Strategic Growth

In response to new legislation adopted in 2024, local and regional governments in Colorado are now required to include both a Strategic Growth Element and a Water Supply Element in their comprehensive plans by December 31, 2026. These components—mandated under SB24-174—must be updated at least every five years and are intended to encourage smarter land use, prevent sprawl, and ensure alignment between development and available water resources.

The Strategic Growth Element focuses on promoting infill development, conserving open space, and supporting efficient infrastructure use, while the Water Supply Element ensures that land use decisions are informed by water availability and conservation strategies. These planning requirements will guide long-term, fiscally responsible growth and help local governments qualify for future state funding opportunities.

Begin Planning for Strategic Growth

Statewide Reports

To support sustainable growth across Colorado, the Department of Local Affairs is developing two statewide reports as directed by SB24-174: the Strategic Growth Report (due October 31, 2025) and the Natural Lands and Agricultural Interjurisdictional Opportunities Report (due December 31, 2025). These reports will offer land use analysis, policy recommendations, and tools to guide fiscally and environmentally responsible growth tailored to local needs.

Starting January 1, 2026, local and regional planning commissions must consider these reports—along with housing needs assessments and the Colorado Water Plan—when updating comprehensive plans. DOLA is engaging a wide range of stakeholders to create practical, locally relevant resources that help communities plan for growth while protecting Colorado’s landscapes, agricultural lands, and quality of life.

Learn about the Reports