I was asked last month at our monthly meeting about regentrification. More specifically, What are the next areas to gentrify? What a great question! Gentrification makes for great investing opportunities, so knowing where to buy makes sense from an investment stand point. Staying ahead of housing trends is key to success in the real estate industry. Luckily, the Portland Plan has done an extensive demographic study and published it’s findings here:
Gentrification and Displacement Study: implementing an equitable inclusive development strategy in the context of gentrification.
It’s an exhaustive study and write up, well done by Lisa K Bates, PhD. There are many sides to gentrification and revitalization: Social, housing, redevelopment and development just to name a few. Many private and public dollars go into the revitalization of neighborhoods. (Think parks, schools, sewer, water, roads, sewage disposal, transportation, etc.) The affect of new development and redevelopment of lower income neighborhoods has many side effects which are fully discussed in this study. Those side effects are going to shape the Portland Plan over the next 10-30 years.
As we discussed in our monthly meeting, the development will be focused around neighborhoods west of I-205. Urban renewal funds and abatement programs will effect development. Look for subsidies for low income housing development in up-and-coming neighborhoods and various programs to limit the effect of new development on existing residents.
Inner Portland is getting crowded. Further out areas like Montavilla, Fo-Po, Portsmouth, St. Johns are beginning to really feel the value increase from the closer in high-demand growth of inner South and Northeast Portland. As land value continues to increase and development opportunities are reduced closer in, look for these next layers of inner east Portland neighborhoods to see the gentrification process begin.