Naugatuck and Derby First to Develop Housing Growth Zones with Connecticut Municipal Development Authority

Naugatuck and Derby First to Develop Housing Growth Zones with Connecticut Municipal Development Authority

Naugatuck and Derby Begin Development Process with the Connecticut Municipal Development Authority to Develop Housing Near Transit Hubs

Connecticut — October 6, 2025 Today, the Connecticut Municipal Development Authority (CMDA) announced that Naugatuck and Derby have completed CMDA’s zoning review and are now developing Housing Growth Zones. This decision marks a significant milestone in Connecticut's transit-oriented development. CMDA is a quasi-public state agency that partners with willing municipalities to increase housing production, thereby contributing to a healthier economy across the state.

This step highlights CMDA’s pivotal role in facilitating the development of vibrant, walkable downtowns strategically located near transit hubs. CMDA serves as a critical resource for municipalities seeking practical and effective solutions to complex housing development challenges.

“Naugatuck and Derby are demonstrating the commitment and readiness required to tackle our state’s housing challenges head-on,” stated David Kooris, Executive Director of CMDA. “By being the first to advance to this next step, they are setting a strong example and paving the way for other willing municipalities to utilize CMDA's framework to build sustainable, transit-oriented communities.”

“My administration has worked hard to advance the development of the assemblage on the south side of Route 34,” said Joseph L. DiMartino, the Mayor of Derby. “It’s a site of region- and state-wide significance - and the City is excited to be working together with CMDA addressing our important downtown site at the confluence of two historic rivers.”  

“Naugatuck is proud to be among the first municipalities in Connecticut to invest in development with CMDA,” said Mayor Pete Hess, Mayor of Naugatuck. “For years, we have been focused on strengthening our downtown and creating opportunities that connect our community to the region. This effort builds on that commitment by ensuring that growth happens in a way that is thoughtful, sustainable, and beneficial to our residents.” 

CMDA consults with officials, residents and stakeholders of willing municipalities to map out a tangible development plan to increase access to transit oriented housing. With 26 municipalities across the state now engaged, CMDA has established itself as a key player in shaping Connecticut’s housing future. 

CMDA is uniquely equipped to help craft zoning or other local regulatory changes in support of the agreed-upon development plan while providing the necessary funding to support this process. Once development district boundaries are set and zoning is finalized, CMDA can help recruit developers and begin taking applications for development or infrastructure financial assistance. 


About Connecticut Municipal Development Authority (CMDA):

The Connecticut Municipal Development Authority (CMDA) is a state agency dedicated to empowering Connecticut municipalities to achieve their housing and economic development goals. CMDA specializes in facilitating the development of vibrant, walkable downtowns near transit hubs, fostering sustainable and equitable communities across the state.


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