Gentrification and Displacement: Not the Relationship You Might Have Thought

The prevailing wisdom is that as a neighborhood gentrifies, long-time, low income residents are forced to move out because of rising rents, i.e. displacement. Two studies from Columbia University and the Federal Reserve draw different conclusions.

2 minute read

January 26, 2014, 5:00 AM PST

By Irvin Dawid


Yuppies are home

lazzarello / Flickr

NPR News investigative correspondent Laura Sullivan "has cast a light on some of the country's most disadvantaged people." In this piece, which you can listen to as well as read, she reports from a changing, "gentrifying" if you will, neighborhood in the District of Columbia. And that means poor people are being forced out, right?

Lance Freeman, the director of the Urban Planning program at Columbia University [and Planetizen blogger], says that's what he believed was happening, too. He launched a study, first in Harlem and then nationally, calculating how many people were pushed out of their homes when wealthy people moved in.

His findings surprised even him. "(P)eople in neighborhoods classified as gentrifying were moving less frequently", he states. "Freeman's work found that low-income residents were no more likely to move out of their homes when a neighborhood gentrifies than when it doesn't," Sullivan writes.

"That squares with a recent study by the Federal Reserve Bank of Cleveland," writes Sullivan.

"We're finding that the financial health of original residents in gentrifying neighborhoods seems to be increasing, as compared to original residents in nongentrifying, low-priced neighborhoods," says Daniel Hartley, a research economist with the bank.

"He says higher costs can push out renters, especially those who are elderly, disabled or without rent-stabilized apartments. But he also found that a lot of renters actually stay — especially if new parks, safer streets and better schools are paired with a job opportunity right down the block," writes Sullivan.

Read here the results of a recent survey about who benefits from redevelopment in neighborhoods in the District. More findings from the Federal Reserve study can be found here.

Wednesday, January 22, 2014 in NPR

Young Professional

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching. Mary G., Urban and Environmental Planner

I love the variety of courses, many practical, and all richly illustrated. They have inspired many ideas that I've applied in practice, and in my own teaching.

Mary G., Urban and Environmental Planner

Get top-rated, practical training for planners

"Planetizen federal action tracker" logo superimposed over black and white image of US Capitol dome.

Planetizen Federal Action Tracker

A weekly monitor of how Trump’s orders and actions are impacting planners and planning in America.

September 16, 2026 - Zachary Whalen

Passengers board an Amtrak train under a cloudy sky.

Amtrak, CN end decades-long dispute with eight-year agreement

The new operating agreement establishes an updated framework for the companies to work together, including processes to resolve disputes.

September 18, 2026 - Mass Transit

The Gross Reservoir, a large body of water surrounded by trees and mountains.

Judges permit Denver to divert 77,000 acre feet from the Colorado River for reservoir expansion

Overuse and climate change have caused the Colorado River’s water levels to plummet.

September 18, 2026 - Inside Climate News

A painted bus lane in NYC.

NYC DOT wants faster, more permanent street upgrades

The city is examining ways to build more concrete infrastructure without getting entangled in 'decades-long' projects.

September 21 - NYC Streetsblog

A woman looks at a utility bill.

'Something we’ve never seen before:' rising utility rates could strain city finances nationwide

Data centers, climate change and other factors have caused utility rates in the United States to increase by 38% since 2020.

September 21 - Smart Cities Dive

A person scuba diving in a coral reef off Guam.

Trump to overrule local leaders, lease millions of acres of America’s Pacific Island territories’ seafloors to mining companies

International law says that the Indigenous people of America’s territories have a right to prior and informed consent regarding projects that impact their countries.

September 21 - Grist