The argument that increased supply of urban housing will lower prices is rapidly being disproved by successive waves of gentrification throughout American cities. Stephen Smith offers a considered analysis of the economics behind this dynamic.
For the original, and often poor residents of newly gentrifying neighborhoods, the market remedy of increasingly supply doesn't make anything cheaper. Rather, they find themselves pushed out by the increased cost of housing, and amenities.
Smith believes that price increases respond to new amenities along an S-curve. "The first 100-unit rental building with the neighborhood's first high-quality grocery story is a huge boon, but the hundredth glass tower with the neighborhood's fifth bank won't even be noticed. It's at this point that the price-lowering effect of dumping new units on the market will outweigh the price-raising effect of the new amenities – in other words, prices will start to fall."
The problem is that once a neighborhood has all its amenities, new housing construction is ground to a halt by a NIMBY shield and any remaining original homeowners who are unlikely to allow their home values to fall.
FULL STORY: Does Urban Growth Have To Mean Gentrification
‘Emergent City’ Documentary Highlights Rare Anti-Gentrification Victory
The film charts the saga of a Brooklyn site called Industry City.
Bitter Irony Behind Brooklyn’s Sweet Domino Sugar Sign
A new feature on the Brooklyn waterfront is a reminder that Domino Sugar has made several unsavory appearances in the history of Puerto Rican communities.
How Broken Planning and Development Processes Hobble the Potential of Neighborhoods
A stinging critique of the public review process in New York City.
Planetizen Federal Action Tracker
A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.
Congressman Proposes Bill to Rename DC Metro “Trump Train”
The Make Autorail Great Again Act would withhold federal funding to the system until the Washington Metropolitan Area Transit Authority (WMATA), rebrands as the Washington Metropolitan Authority for Greater Access (WMAGA).
The Simple Legislative Tool Transforming Vacant Downtowns
In California, Michigan and Georgia, an easy win is bringing dollars — and delight — back to city centers.
The States Losing Rural Delivery Rooms at an Alarming Pace
In some states, as few as 9% of rural hospitals still deliver babies. As a result, rising pre-term births, no adequate pre-term care and "harrowing" close calls are a growing reality.
The Small South Asian Republic Going all in on EVs
Thanks to one simple policy change less than five years ago, 65% of new cars in this Himalayan country are now electric.
DC Backpedals on Bike Lane Protection, Swaps Barriers for Paint
Citing aesthetic concerns, the city is removing the concrete barriers and flexposts that once separated Arizona Avenue cyclists from motor vehicles.
Urban Design for Planners 1: Software Tools
This six-course series explores essential urban design concepts using open source software and equips planners with the tools they need to participate fully in the urban design process.
Planning for Universal Design
Learn the tools for implementing Universal Design in planning regulations.
Smith Gee Studio
City of Charlotte
City of Camden Redevelopment Agency
City of Astoria
Transportation Research & Education Center (TREC) at Portland State University
US High Speed Rail Association
City of Camden Redevelopment Agency
Municipality of Princeton (NJ)