Vermont Looks to Convert Unused State Properties Into Housing

Governor Scott's administration aims to address housing crisis by repurposing underutilized state-owned lands and buildings.

Feb. 3, 2026 at 2:55am

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The Vermont government is exploring ways to convert unused or underutilized state-owned properties into new housing units. Governor Phil Scott signed an executive order last September directing all state agencies to inventory their lands and buildings with the goal of identifying viable sites that could be redeveloped for residential purposes. The administration, led by Housing and Community Development Commissioner Alex Farrell, is now reviewing over 130 properties reported by the Agency of Transportation and plans to select 5-10 with the most potential for housing development.

Why it matters

Vermont, like many other states, is facing an affordable housing crisis, with 34% of households considered cost-burdened, meaning they spend more than 30% of their income on housing. By repurposing state-owned commercial and industrial spaces, the Scott administration hopes to increase the state's housing supply and provide more affordable living options for Vermonters.

The details

The governor's executive order tasked all state agencies with inventorying their unused or underutilized lands and buildings. The Agency of Transportation reported the most properties, over 130, many of which Commissioner Farrell believes have strong potential for housing development. Farrell is now in the process of selecting 5-10 priority properties, including parcels in Berlin and Vergennes, to coordinate with the legislature on next steps for converting them to residential use.

  • Governor Scott signed the executive order promoting housing construction in September 2025.
  • State agencies submitted their property inventories to the administration in late 2025.

The players

Governor Phil Scott

The governor of Vermont who signed an executive order in September 2025 directing state agencies to identify unused state properties that could be converted to housing.

Alex Farrell

The Commissioner of the Vermont Department of Housing and Community Development, who is leading the effort to review state-owned properties and select the most promising sites for housing redevelopment.

Vermont Housing Finance Agency

A state agency that reports 34% of Vermont households are cost-burdened, spending more than 30% of their income on housing.

Vermont Agency of Transportation

A state agency that reported over 130 unused or underutilized properties to the administration, many of which are being considered for housing conversion.

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What they’re saying

“The Governor signed an executive order to promote housing construction in Vermont back in September. One of the objectives was to create a list of properties the state owns to see their potential viability to be converted to housing.”

— Alex Farrell, Commissioner of Housing and Community Development

“The Agency of Transportation, they reported by far the most properties. I think they reported to me over 130 properties. A lot of those could have some serious potential.”

— Alex Farrell, Commissioner of Housing and Community Development

What’s next

Commissioner Farrell will be selecting 5-10 of the most promising state-owned properties to focus on for potential housing redevelopment, and will be coordinating with the state legislature on the next steps to realize these plans.

The takeaway

By leveraging underutilized state assets, the Scott administration is taking an innovative approach to addressing Vermont's affordable housing crisis and increasing the supply of homes available to residents struggling with high housing costs.