A tax increment reinvestment zone (TIRZ) is a political subdivision of a municipality or county in the state of Texas created to implement tax increment financing. A TIRZ may be initiated by a Texas city or county, or by petition of property owners whose total holdings in the zone consist of a majority of the appraised property value.  A TIRZ project moves development within the zone forward more quickly, generating new tax revenue for a municipality, through reimbursement of eligible building costs for public infrastructure in areas lacking adequate public infrastructure to attract businesses. TIRZ projects thereby encourage development by reducing of the overall costs of private development.  These development zones are proven to jumpstart increased property values and long-term tax collections through tax reinvestments.  

The City of New Braunfels currently has three TIRZ areas. TIRZ are areas created by the City Council to attract and support new investment in targeted, strategic locations to help finance the costs of redevelopment and promote growth. Taxes resulting from new investment and development in these zones (the tax increment) is set aside to finance improvements within the boundaries of the zone.