Transit Oriented Development Land Acquisition Program (TODLAP)

The Transit Oriented Development Land Acquisition Program (TODLAP) is a revolving acquisition loan program created in partnership with Sound Transit that enables developers to purchase land and improved real property within the boundaries of the Sound Transit Regional System that is suited for either multi- or single-family affordable housing development. The loan fund was capitalized in 2025 by Sound Transit and is administered by the Commission.

Key Program Features

• Projects must be located within King, Pierce, or Snohomish Counties and located within the Sound Transit service area boundaries. See Exhibit A of the TODLAP Program Description and Application Guidelines for a map of this boundary
• Eligible organizations include local governments, local housing authorities, nonprofit organizations, and tribes
• No more than 40% of the funds shall be allocated to any one county
• The loan amount for TODLAP must not exceed $5M
• TODLAP is not intended to fund 100% of site acquisition costs. Acquisition loans may finance up to 75% of the property's Loan-to-Value (LTV) for eligible acquisition costs. In addition, the facility may advance funds for preapproved predevelopment expenses, provided that the combined acquisition and predevelopment funding does not exceed 90% LTV. Predevelopment financing is limited to the lesser of $150,000 or the amount necessary to maintain compliance with the applicable LTV limitations.
• Future housing developments must serve households earning 80% or less of the area median income.

Program Requirements

• TODLAP is intended to be a short- to medium-term acquisition bridge financing program: the loan must be repaid by no later than the end of the 5th year (or 8th year if an extension is permitted).
• Within 3 years of receiving a TODLAP loan, the borrower must present the Commission with an updated development plan, including committed and anticipated financial resources, and an estimated development schedule showing repayment by year five

• 35-year affordability use restriction

Loan Details

• TODLAP carries a 1% interest rate and an estimated loan fee equal to 1% or the principal balance. Interest and principal may be deferred during the loan term.
• Acquisition funds will be available at closing. Predevelopment funding may be available at or after closing for eligible Phase I predevelopment activities. Funding is subject to program requirements and will be disbursed based on documented eligible expenses. Eligible uses may include site control costs, initial legal fees, third-party due diligence reports, design, entitlement work, and other approved Phase I predevelopment activities. Detailed eligibility requirements, conditions precedent, and draw procedures will be further outlined in the TODLAP Program Description and Application Guidelines.

Key Evaluation Criteria

Evaluation criteria will include, but not be limited to, the following:

• Projects should be located in areas with access to key services, amenities, and existing infrastructure, with priority given to transit-oriented locations near light rail, streetcar, commuter rail, ferry, and bus rapid transit stations, including non-agency TOD station areas. Projects should also promote walkability and transit use through pedestrian-oriented design, active street-level uses, high-density development, and parking configurations that minimize vehicle presence along primary frontages;
• Evidence of strong organizational and financial capacity of the applicant to develop the project including a demonstrated track record of receiving anticipated construction and permanent takeout financing;
• Urgency to acquire site in order to provide affordable housing;
• Leveraging of other sources of acquisition funding;
• Balancing need and geographic distribution; and
• Development plan beginning in the fifth year of acquisition.

How to Apply

Program Description and Application Guidelines (PDF)

Application (WORD)