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This study discusses the potential economic and development impacts that high-speed rail (HSR) may bring to California. The research reviews the reported impacts of HSR implementation in various countries, particularly in Europe, and case studies of selected HSR station-cities in France, Spain, and Italy. The analysis suggests that HSR could bring economic development to the state and stimulate population growth but might eventually lead to gentrification in certainlocations. Not all station-cities experience the same impacts, and certain conditions may foster greater economic development. Station location and connectivity to downtown areas would be particularly important in influencing these impacts, while peripheral stations would be less able to attract land use development and relocation of activities. The availability of rail service to larger cities (and connections to other major markets) and the coordination with urban planning and policy are key to determining the development of areas around HSR stations. The study indicates that for HSR to bring about desired economic development, the planning and design of stations and services must be integrated with the vision and urban plans of each station-city.