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Social Sustainability

Development Incentives for Affordable Housing#

Who's Eligible?#

In order to encourage the building of affordable housing units, Fort Collins offers a variety of development incentives that are intended to reduce the costs to developers. For complete definitions, see Section 5.1.2 of the Fort Collins Land Use Code. In order to receive affordable housing development incentives, a project must meet certain criteria as defined in the Land Use Code, including but not limited to:

  • A housing development is considered affordable if at least 10% of the total dwelling units are affordable to rent or own by households earning 80% or less of Area Median Income (AMI).
  • A unit is considered affordable to rent if a household earning 80% or less of AMI pays no more than 30% of their gross monthly income towards rent, including utilities.
  • A unit is considered affordable to own if a household earning 80% or less of AMI pays no more than 38% of their gross monthly income towards their mortgage, including principal, interest, and insurance.

HUD Income Limits#

Each year HUD determines Area Median Income (AMI) for the Fort Collins/Loveland Metropolitan Statistic Area (MSA), broken down by household size and percentage of AMI.

Fort Collins - Loveland MSA Family Median Income, 2021
Source: City of Fort Collins, based on info from U.S. Housing and Urban Development

Number of People/Household
Median (100%)
80% AMI
60% AMI
50% AMI
30% AMI


Density Bonus#

Affordable housing projects proposed in the Low-Density Mixed-Use Housing (LMN) zone are eligible to increase the maximum allowed density from 9 to 12 dwelling units per acre. See Section of the Land Use Code for full detail.

Fee Credit#

Affordable housing projects may qualify if providing housing for formerly homeless individuals, housing for people with disabilities or people earning 30% of the AMI or less.

Fee Credit Request Process

Impact Fee Delay#

Impact fees are typically paid at the time that building permits are issued. This incentive allows the developer to delay the payment of those impact fees until a certificate of occupancy is issued, or December 1 of that year, whichever happens first. See Section 7.5-26 of the Fort Collins Municipal Code & Charter for full detail.

Priority Processing#

Affordable housing projects are eligible to receive an expedited development review and permitting process.

Summary of Affordable Housing Incentives#

  Minimum Eligibility LMN Units Targeting 30% AMI

At least 10% affordable


Density Bonus

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Fee Credits

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Impact Fee Delay


Priority Processing