Fastest Growing Municipalities in Pennsylvania (Development Perspective)

2/4/2026

Fastest Growing Municipalities in Pennsylvania: Where Development Is Happening Now—and What’s Next

Population growth matters—but in real estate development, construction activity tells the real story.

Across Pennsylvania, the municipalities experiencing the most momentum are those seeing consistent new single-family home construction, expanding townhome and condo projects, and sustained commercial and industrial development. These areas are attracting residents, employers, and capital because they combine location, infrastructure, zoning capacity, and market demand. 

Below is a look at Pennsylvania’s fastest growing municipalities, viewed through the lens of development activity, followed by an outlook on where growth is headed next.

How Growth Is Measured for Development

Rather than focusing only on census population change, growth in this context reflects:

• Residential building permits (single-family, townhomes, condos)
• Subdivision and land development approvals
• Industrial and logistics construction
• Commercial and mixed-use investment
• Infrastructure expansion and zoning capacity

Municipalities that consistently approve and absorb new development rise to the top.

Fastest Growing Municipalities in Pennsylvania (Development-Driven Ranking)

1. Upper Macungie Township (Lehigh County)

• One of the most active development markets in the state, driven by:
• Large-scale industrial and warehouse construction
• Expanding residential subdivisions
• Proximity to I-78, Route 22, and Route 100

Upper Macungie is a prime example of land transitioning rapidly from agricultural to residential and industrial use.

2. Lower Macungie Township (Lehigh County)

Lower Macungie continues to see:

• Strong single-family and townhome construction
• Supporting neighborhood retail and commercial projects
• Spillover growth from the Allentown core

Residential absorption remains one of the fastest in Eastern Pennsylvania.

3. Upper Uwchlan Township (Chester County)

Located along the Route 100 and PA Turnpike corridor, Upper Uwchlan benefits from:

• Executive-level residential development
• Office, flex, and service-oriented commercial growth
• Proximity to employment centers in Chester and Montgomery Counties

4. Lower Makefield Township (Bucks County)

Lower Makefield continues to attract:

• High-end residential development
• Infill townhome and condo projects
• Professional office and neighborhood commercial investment

Its location near I-95 and the New Jersey border remains a major driver.

5. Cecil Township (Washington County)

One of the fastest growing municipalities in Southwestern Pennsylvania, Cecil Township is seeing:

• Large-scale residential subdivisions
• Logistics and industrial growth tied to I-79
• Continued population inflow from the Pittsburgh metro area

6. Silver Spring Township (Cumberland County)

Silver Spring is a key growth area in South-Central Pennsylvania, supported by:

• Single-family and townhouse development
• Industrial and logistics projects near I-81
• Proximity to Harrisburg employment centers

7. Cranberry Township (Butler County) One of Pennsylvania’s growth leaders for decades, Cranberry Township remains active with:

• Mixed-use development
• Corporate office and medical space
• Ongoing residential construction at multiple price points

8. Lower Paxton Township (Dauphin County)

Lower Paxton continues to grow through:

• Residential subdivisions and townhome projects
• Medical, retail, and service commercial development
• Strategic location near I-81 and I-83

9. East Whiteland Township (Chester County) East Whiteland is seeing:

• Office, life sciences, and flex redevelopment
• Residential infill and higher-density projects
• Strong infrastructure and transit access

10. Bethlehem Township (Northampton County)

• Bethlehem Township benefits from:
• Continued residential subdivision activity
• Commercial and medical development
• Location along Route 33 and Route 22

Commercial and Industrial Growth Patterns

The most significant commercial and industrial growth across Pennsylvania is occurring in:

• Lehigh Valley (Lehigh & Northampton Counties)
• I-81 Corridor (Cumberland, Dauphin, Franklin, and Luzerne Counties)
• I-79 and I-70 Corridors (Washington and Butler Counties)
• Outer Philadelphia Suburbs (Chester, Bucks, Montgomery)

Warehouse, logistics, manufacturing, medical, and flex industrial uses continue to drive land absorption.

Residential Construction Trends

• Residential growth is strongest in municipalities that:
• Allow higher-density housing (townhomes and condos)
• Have available developable land or redevelopment sites
• Are within commuting distance of major employment hubs
• Offer public utilities and modern infrastructure

Townhomes and attached housing are increasingly favored as affordability and density concerns shape zoning decisions.

Anticipated Future Growth Trends in Pennsylvania

Looking ahead, several trends are expected to shape growth statewide:

Continued Suburban and Exurban Expansion

Municipalities just outside established suburbs will continue to absorb growth as buyers seek affordability and space.

More Townhomes and Mixed-Use Projects

Zoning changes and market demand are pushing development toward:

• Townhomes
• Condos
• Mixed-use residential/commercial projects

Industrial Development Along Highway Corridors

Industrial growth will remain concentrated along: I-78 I-81 I-83 I-79

Sites with utilities, zoning, and highway access will command premium pricing.

Increased Focus on Redevelopment

With raw land becoming scarcer, redevelopment of:

• Obsolete commercial properties
• Former industrial sites
• Underutilized retail centers will play a larger role in growth.

What This Means for Landowners, Developers, and Investors

Pennsylvania’s fastest growing municipalities share common traits:

• Pro-development zoning (or willingness to adapt)
• Infrastructure capacity
• Strategic highway access
• Consistent residential and employment demand

For those focused on land acquisition, development, or repositioning, understanding where construction is actually happening is more valuable than population statistics alone.