Impact Fee Credit Calculator

Impact fee credits offset development impact fees for public benefit contributions.

Gross impact fees

Affordable units

Credit / affordable unit

Public amenity credit

Infrastructure credit

Net impact fees

$1,050,000

Total credits

$2,450,000

Credit as % of gross

0.70%

How the math works

Credits = affordable × per-unit + amenity + infrastructure. Net = gross − credits.

30 × $60k + $400k + $250k = $2,450,000 credits. $3.5M − $2.45M = $1.05M net.

How to Use

Enter gross impact fees.
Enter affordable unit count.
Enter per-unit affordable credit.
Enter public amenity credit.
Enter infrastructure contribution credit.
Read net impact fees.

Frequently Asked Questions

Impact fees?

Levied by city on new development to fund: schools, roads, parks, utilities, fire, police infrastructure. Typical: $5-50k/unit residential, $2-30/sqft commercial. Vary widely: Denver $12k/unit, Austin $15k/unit, Chicago $20k/unit, NYC $50k+/unit for 80/20 projects, California $20-80k/unit. Single-largest development cost after land + construction in some markets.

Credits available?

Affordable housing units: $10-100k per unit credit. Public amenities (parks, plazas, community rooms): 60-100% of capex credited. Infrastructure contribution (road improvements, traffic signals, water/sewer): 1:1 credit typical. Transit contribution: 1:1 credit. Energy efficiency/LEED: 5-15% fee reduction in some cities. Historic preservation: substantial credit potential.

Deal structure?

Developer agreement: negotiated with city before permit. Define: credits, public benefit, timing. Binding contract protects both parties. Timing: credits granted upon completion of public benefit. Reimbursement agreements: if developer pays fee first then proves public benefit, city reimburses. Bond or LOC may secure developer's commitments during construction.

Economic impact?

Significant impact on project economics. $20M project with $3M impact fees (15%) vs $3M with $1.5M credits: $1.5M savings = 7.5% of project. On 6% yield-on-cost, moves to 6.5%. Affordable housing set-aside: reduces stabilized NOI 3-8% but generates credits. Often net neutral to slightly positive. Best: structure project to maximize credit capture.