1. HDC Allocation
  2. HDC Certificate Process
  3. Initial Purchase Program
  4. HDC Tracking Sheet & Registry

  1. HDC Allocation

    Selling development credits, including those to be sold to the HDC Bank, is a two-step process. The first step is to submit an application for an HDC Allocation from the Highlands Council. An estimated HDC allocation range is available through the Highlands Council's Estimator Tool.

    For those seeking to sell their HDCs to the HDC Bank, the second step, after receiving an HDC Allocation from the Council, is to submit an application for a HDC Certificate to the HDC Bank for the Bank to potentially make an offer to purchase allocated HDCs.

    The Council is currently revising its applications. Interested applicants should contact James Humphries for copies of applications and additional information (james.humphries@highlands.state.nj.us).
     

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  2. HDC Certificate Process

    While the Highlands Council is responsible for determining the number of HDCs that a property is entitled to receive under the TDR program, the Bank issues HDC Certificates which entitle a property owner to sell, convey or otherwise transfer any HDCs that have been allocated to their property. Through the certificate process, the HDC Bank certifies the number of HDCs allocated to a property, confirms that the owner has marketable title to the property, and ensures that a deed of easement is recorded against a property for its protection in perpetuity.

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  3. Initial Purchase Program

    During the initial phase of the Highlands TDR Program, the HDC Bank played a crucial role as the primary purchaser of HDCs through the “Initial Purchase Program” (IPP). The IPP allowed willing landowners in the Highlands Preservation Area to apply for an allocation of HDCs and an HDC certificate and, if eligible, to deed restrict their land from future development in exchange for funding from the HDC Bank.

    The IPP was made possible by the appropriation of $10 million to the HDC Bank in September 2008 through Executive Order 114. Of that, $9 million was used to create IPP, with $1 million set aside by the NJ Department of the Treasury for debt service. Through five rounds of acquisition consideration, the HDC Bank authorized $8,905,300 in funding to acquire 555 HDCs from property owners, representing nearly 660 acres.

    The bank is currently exploring options for future funding, while working toward the establishment of voluntary receiving zones that will support the private purchase of HDCs.

     

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  4. HDC Tracking Sheet & Registry

    The Tracking Sheet below contains information regarding all HDC allocation requests and any resulting transactions to-date. The Registry below summarizes all closed transactions.



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