An urban growth boundary, or UGB, is a regional boundary, set in an attempt to control urban sprawl by mandating that the area inside the boundary be used for higher density urban development and the area outside be used for lower density development.
An urban growth boundary circumscribes an entire urbanized area and is used by local governments as a guide to zoning and land use decisions. If the area affected by the boundary includes multiple jurisdictions a special urban planning agency may be created by the state or regional government to manage the boundary. In a rural context, the terms town boundary, village curtilage or village envelope may be used to apply the same constraining principles. Some jurisdictions refer to the area within an urban growth boundary as an urban growth area, or UGA. While the names are different, the concept is the same. Another term used is urban service area.
Read more about Urban Growth Boundary: UGBs and Housing Prices
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