The impact of assisted housing developments on concentrated poverty

Abstract

The common wisdom is that assisted housing developments have both a direct and an indirect impact on concentrated poverty. The indirect effects are based on the notion that the negative stereotypes associated with such developments spill over into the surrounding neighborhoods, causing people who can leave to do so or avoid the neighborhood and leaving behind only the more disadvantaged segments of society. An increase in concentrated poverty in the neighborhood surrounding the development results. Prior studies, relying on aggregated data, are consistent with this thesis. The overwhelming majority of the statistical models in my study, however, found these relationships to be spurious. Once individual and macrolevel characteristics were controlled for, the relationships disappeared.

These findings imply that assisted housing developments will not typically contribute to concentration of poverty in surrounding neighborhoods and suggest that much of the negative reaction to assisted housing developments is unwarranted.     

Public housing and the American dream: Residents’ views on buying into “the projects”

Abstract

This article examines residents’ attitudes toward homeownership in five large inner‐city public housing projects composed of multifamily apartment buildings. Based on 267 interviews with public housing residents in Boston, it contrasts their broad support for homeownership as a concept with their wholly mixed reaction to the idea of owning a public housing apartment. Interest in homeownership in public housing is shown to be independent of residents’ current employment status and closely tied to residents’ social investment in specific housing developments and to their perceptions about the quality of that development's management, maintenance, and security.

The findings cast renewed doubt on policies that would make public housing sales a centerpiece of national policy, but they provide qualified support for more modest efforts to increase homeownership in public housing developments and in low‐income neighborhoods around them.     

Assessing Economic Change in HOPE VI Neighborhoods

Abstract

Neighborhoods surrounding large public housing developments have historically been economically distressed. The revitalization of many developments through the federal HOPE VI program, in conjunction with increased inner‐city lending and a strong economy for much of the 1990s, should theoretically lead to improvements in these neighborhoods. This study analyzes changes in selected HOPE VI neighborhoods since 1990 and compares them with changes in other high‐poverty communities, as well as with overall trends in their respective cities.

At the beginning of the decade, conditions in HOPE VI communities were almost universally worse than in other high‐poverty areas. By the end of the decade, the relationship was reversed. The changes resulted from a number of interrelated factors, including the redevelopments themselves, other private market activity, specific commitments of resources by city governments, and increased attention to the communities by lenders. These neighborhoods still qualify as economically distressed, but economic development now seems a realistic possibility.     

Comment on Dennis P. Culhane et al.’s “Public shelter admission rates in Philadelphia and New York City: The implications of turnover for sheltered population counts”

Low-Income Housing Tax Credit (LIHTC) developments serve renter households with incomes between 30% and 60% of Area Median Family Income. Ideally, the program places units into neighborhoods where there is a shortage of units serving this cohort. LIHTC units are allocated to developers by state agencies through their Qualified Allocation Plans which should direct units to areas of need. Using a national database, this research examines where LIHTC developments were placed in service to determine whether these developments enter tracts experiencing shortages.

The LIHTC program is not directing units to those census tracts where there is a latent demand for units in this rent range. Rather, it is placing units into tracts that have surpluses. Equally, the program is not placing units in tracts with little or no affordable housing. This suggests that the program is not breaking down the income separation that exists in the nation's housing markets.     

New York city and subsidized housing: Impacts and lessons of the city's $5 billion capital budget housing plan

Abstract

New York City has devoted far more resources to the development and rehabilitation of affordable housing than any other U.S. city, investing more than $4 billion from 1986 to 1997. This article surveys the impact, status, and implications of New York's housing programs. It looks at correlations between publicly funded housing starts and changes in the housing stock, welfare rolls, and crime and at the economic impact of the city's housing investments within low‐income neighborhoods.

New York's housing programs have transformed neighborhoods, replacing large swaths of abandoned shells and vacant land with new housing and preserving thousands of buildings at risk of abandonment. While these housing investments correlate most strongly with reductions in vacant units and vacant lots, they also show significant correlations with reductions in welfare rolls and violent crime, but uneven economic impacts as well. New York's housing programs are important nationally less for the specifics of particular programs than for the institutional collaborations on which they are founded.     

Gateway to Opportunity? Disparities in Neighborhood Conditions Among Low-Income Housing Tax Credit Residents

A key goal of housing assistance programs is to help lower income households reach neighborhoods of opportunity. Studies have described the degree to which Low-Income Housing Tax Credit (LIHTC) developments are located in high-opportunity neighborhoods, but our focus is on how neighborhood outcomes vary across different subsets of LIHTC residents. We also examine whether LIHTC households are better able to reach certain types of neighborhood opportunities. Specifically, we use new data on LIHTC tenants in 12 states along with eight measures of neighborhood opportunity. We find that compared with other rental units, LIHTC units are located in neighborhoods with higher poverty rates, weaker labor markets, more polluted environments, and lower performing schools, but better transit access. We also find that compared with other LIHTC tenants, poor and minority tenants live in neighborhoods that are significantly more disadvantaged.     

Understanding the changing fortunes of metropolitan neighborhoods, 1980 to 1990

Abstract

This article develops a model that relates decadal changes in neighborhood poverty rates to metropolitan‐wide economic changes and the neighborhood's demographic profile, predetermined poverty rate, and locational characteristics. The model is estimated for the 1980–1990 period using metropolitan census tracts as proxies for neighborhoods. This national sample of tracts is stratified into predominantly white, African‐American, Hispanic, and mixed subsamples.

Results indicate that only a few variables consistently predict growth in neighborhood poverty: overall job availability; the age composition of neighborhood residents; the proportion of nonmarried households; and the neighborhood's 1979 poverty rate. Other variables have distinctly different coefficients depending on the racial‐ethnic subsample. These coefficients include segregation, welfare benefits, the location of manufacturing employment, and availability of automobiles. We conclude that studies that focus solely on African‐American poverty neighborhoods fail to recognize common patterns across all neighborhoods and to discern unique features of neighborhoods inhabited predominantly by non‐African Americans.     

Saline politics: Local participation and neoliberalism in Australian rural environments

Participatory approaches to sustainable development have become increasingly popular world‐wide. In Australia, participatory approaches such as landcare and regional catchment management form the basis of rural environmental policy and practice. At the same time, neoliberalist reforms such as market deregulation and withdrawal of state assistance from agriculture have been implemented. Various commentators have suggested that local participatory practices can enable neoliberal reforms by depoliticising rural environmental problems and fragmenting action. This paper explores the intersection of these participatory policy developments and neoliberal reforms through two case studies on the government of salinity in the Hunter Valley, New South Wales. From this work, it is apparent that neoliberal reforms result in competition for resources within the state, the projectisation of environmental action, and a hesistance of the state to allocate resources for broader environmental monitoring. This work demonstrates how the contradictions in these developments can create a chaotic and irrational environmental politics that can result in a repoliticisation of rural environments and opportunities for a more rational and democratic sustainable development practice.     

Institutional Analysis of Neighborhood Collective Action

Sublocal governance organizations may provide a way for some urban neighborhoods to stabilize and improve property values. Recent advances in collective action theory, spatial statistical methods, and data availability now make it possible to more directly evaluate the effects of these organizations. The analysis combines geocoded assessor's data and data from a survey of neighborhood and homeowner associations to analyze a model of prices of single‐family homes in Little Rock, Arkansas, from 2012 to 2016. The results show that neighborhood and homeowner associations both have significant positive effects on neighborhood property values relative to unorganized neighborhoods and that the effect of neighborhood associations is at least as large as that of homeowner associations. Moreover, the results indicate that neighborhood association structure mediates the effect on property values, although this is not the case for homeowner associations.     

The Commons Select Committee System in the 2015–20 Parliament

The House of Commons select committees witnessed some of the most constructive political theatre of the 2010‐2015 Parliament. Recall Rupert Murdoch's public contrition, Margaret Hodge's assault on MNC tax evasion and Keith Vaz's timely interrogations of G4S, etc. The committees also embraced social media and adopted public engagement as a key task. These developments all reflect a newly emboldened system. In recent months, four reports have been published which reflect on these developments. They also look forward to the further substantial development of committee activity. The system thus sets sail with an abundance of specific suggestions, including ideas that could have far wider and more far‐reaching democratic implications.     

“The Color of Money” revisited: Racial lending patterns in Atlanta's neighborhoods

Abstract

In 1988, the Atlanta Journal‐Constitution published “The Color of Money,” an influential series examining mortgage redlining in Atlanta. The articles documented wide lending disparities between white and black neighborhoods of similar income levels. Given sweeping changes in housing finance since 1988, we seek to determine whether Atlanta's racial geographic disparities in mortgage lending have changed.

Analysis of 1992 to 1996 Home Mortgage Disclosure Act data reveals slight improvement. Atlanta's depository lenders made 4.2 times as many conventional home purchase loans per owner‐occupied unit to middle‐income white neighborhoods as they did to middle‐income black neighborhoods; a decade earlier, this ratio was 5.2. Nondepositories post lower ratios, particularly for Federal Housing Administration‐insured loans, but this market segment raises concerns because of potential abuses. By the indicator of most enduring theoretical and policy interest—conventional home purchase lending by depositories—the patterns that aroused concern a decade ago are still evident today.     

Islands of decay in seas of renewal: Housing policy and the resurgence of gentrification

Abstract

For many observers, the recession of the early 1990s signaled the end of what Berry called islands of renewal in seas of decay. In the past decade, however, shifts in mortgage finance have intersected with developments in assisted housing to alter the links between gentrification and housing policy. In this article, we use field observation, Home Mortgage Disclosure Act data, and HOPE VI plans to analyze the resurgence of gentrification in eight U.S. cities.

Between 1992 and 1997, gentrified neighborhoods attracted conventional homepurchase mortgage capital at a rate that grew at more than 2.3 times the suburban rate. Logit models confirm that mortgage capital favors gentrified neighborhoods even after controlling for applicant and loan characteristics, suggesting a new relationship between mortgage lending and neighborhood change. In some cities, gentrification has surrounded islands of decay and poverty with landscapes of renewal     

Spectacles of military urbanism in online representations of the Elite Squad of the military police of Rio de Janeiro: a multimodal approach

This paper presents a multimodal analysis of online self-representations of the Elite Squad of the military police of Rio de Janeiro, the Special Police Operations Battalion BOPE. The analysis is placed within the wider context of a “new military urbanism”, which is evidenced in the ongoing “Pacification” of many of the city's favelas, in which BOPE plays an active interventionist as well as a symbolic role, and is a kind of solution which clearly fails to address the root causes of violence which lie in poverty and social inequality. The paper first provides a sociocultural account of BOPE's role in Rio's public security and then looks at some of the mainly visual mediated discourses the Squad employs in constructing a public image of itself as a modern and efficient, yet at the same time “magical” police force.     

New Community Associations for Established Neighborhoods

From 1980 to 2000, 50 percent the new housing in the United States was located in a development project where it was subject to the governance of a private community association. The creation of a community association requires unanimous consent, which is achieved in practice by requiring home owner agreement as a condition of initial purchase in new developments. In an established neighborhood of existing homes and other properties, however, it is for practical purposes impossible at present to create a private community association. This paper proposes that state governments enact legislation to allow for retroactive creation of private community associations in established neighborhoods with a vote of less than unanimous consent. In this way, the same advantages of private neighborhood government that have proven so attractive to such large numbers of suburban homeowners in recent years could be extended as well into inner city areas.     

Comment on Charles C. Bohl's “new urbanism and the city: Potential applications and implications for distressed inner‐city neighborhoods”

Abstract

This article argues that distressed neighborhoods greatly benefit from New Urbanist design. New Urbanists have been rebuilding distressed neighborhoods for years, and New Urbanism's mix of architecture, planning, and public policy offers inner‐city neighborhoods the best set of tools available to improve the quality of life for their residents. Principles based on flexibility and absolute rejection of formula allow New Urbanism to offer solutions for a broad range of situations.     

Neighborhood Housing Resilience: Examining Changes in Foreclosed Homes During the U.S. Housing Recovery

ABSTRACT

The surge in foreclosures in the United States that began in 2007 reached a peak in mid-2011, and since then, the rate of foreclosures has been decreasing, providing evidence of the housing market recovery. This study examines factors that affected changes in ZIP code-level foreclosure rates in more than 300 U.S. metropolitan areas during the national housing recovery. Using multivariate analyses of the long- and short-term effects of foreclosures simultaneously, this finding shows that certain characteristics of the mortgage and housing markets led to more rapid neighborhood recovery. Results also indicate, however, that most urban-form variables led to neighborhood resilience over the long term, that high shares of mixed land use were strongly associated with fewer foreclosures, and that high shares of auto dependency were associated with high foreclosure rates. Finally, findings suggest that low- and moderate-income neighborhoods, particularly in cities, were more vulnerable and less resilient to economic shock, and the accumulated effects of foreclosures worsened over the long term. However, low- and moderate-income neighborhoods surrounded by suburban affluent neighborhoods recovered more rapidly than those in cities did. Understanding such resilience to economic crises will provide policymakers with insights that they can leverage to establish housing policies for sustainable neighborhoods.     

High Costs and Segregation in Subsidized Housing Policy

This article examines the public policies determining the distribution of subsidized housing in the Twin Cities metropolitan area of Minnesota, the resulting distribution of subsidized housing, and the comparative costs associated with building in the region's central cities or in suburbs. The analysis concludes that current policies are clearly not meeting the region's responsibility to affirmatively further fair housing. The metropolitan area abandoned its role as a national leader in this area decades ago. The result is an affordable housing system that concentrates subsidized housing in the region's poorest and most segregated neighborhoods. This increases the concentration of poverty in the two central cities, in the region's most racially diverse neighborhoods, and in the attendance areas of predominantly nonwhite schools. In the long run, this hurts the regional economy and exacerbates the racial gaps in income, employment, and student performance that plague the Twin Cities.     

What Can We Learn About the Low-Income Housing Tax Credit Program by Looking at the Tenants?

Abstract

Several recent studies have found that homeownership has positive effects on children's development. This article extends these studies by testing whether these effects depend on neighborhood conditions. This extension is important because many low‐income families that become homeowners under current policies promoting homeownership for the poor are likely to purchase homes in troubled or distressed neighborhoods.

Homeownership in almost any neighborhood is found to benefit children, while neighborhood effects are weak. This suggests that the children of most low‐income renters would be better served by programs that help their families become homeowners in their current neighborhoods instead of helping them move to better neighborhoods while remaining renters. However, the positive effects of homeownership on children are weakened in distressed neighborhoods, especially those that are residentially unstable and poor. Thus, helping low‐income families purchase homes in good neighborhoods is likely to have the best effects on children.     

Barriers to Integrating New Urbanism in Mixed-Income Housing Plans in Chicago: Developer,Housing Official,and Consultant Perspectives

This article explores the barriers to implementing mixed-income development plans that incorporate the social (income) and physical (new urbanism) mixing goals of HOPE VI. I examine a comparative case study of three HOPE VI planning efforts in Chicago, Illinois, that exhibit different results. I draw from 25 in-depth interviews across three primary types of actors involved in the development process: developers, housing officials, and consultants. This research uses the perspectives of these key actors to identify the barriers that constrain the implementation of new urbanist designs. Current research indicates that mixed-income developments vary in their degree of income mixing and how new urbanist strategies are implemented. However, there is little consensus on why this is so. Findings indicate implementation of new urbanism is constrained by limited interagency coordination, restrictive design policies, low community buy-in, and exclusive marketing and occupancy practices. Overall, the research offers lessons learned from which I recommend changes in planning practices to assist actors in the consistent implementation of new urbanism in mixed-income developments.     

Fighting Poverty with Mobility: A Normative Policy Analysis1

Concentrated urban poverty is America's deepest social problem. Eliminating it stands as our nation's greatest challenge. In this article I analyze from a normative perspective antipoverty policies that attempt to address this problem via “mobility,” that is, policies that attempt to disperse the urban poor to suburban locations. I find these policies to be normatively problematic on two grounds: the level coercion experienced by (and the corresponding lack of free choice given) a vulnerable population and the undesirable effects (in the current context of American urban development) caused by failing to regard established neighborhoods as stable communities. The results of this analysis indicate strongly the need to generate increased levels of economic activity in America's inner cities, and I suggest that more research on this issue be conducted with an eye toward formulating and implementing a comprehensive strategy to bring about inner-city revitalization.