Tag Archives: Miami

Study: Housing Bust Turns Parts of Sun Belt…into Rust Belt

Frequent Rust Wire readers know we’ve written before about the housing crisis creating Rust Belt-like conditions in some Sun Belt cities, such as Las Vegas (See here and here).

Now there appears to be actual data to back that up, according to a study from the Research Institute for Housing America, a division of the Mortgage Bankers Association.

The Los Angeles Times explains:

“A traditional city in decline is one that has suffered a sustained population drop, leaving behind empty houses, apartment buildings, offices and storefronts. Cleveland and Detroit, for instance, suffered from the erosion of manufacturing and the loss of residents, who left in search of jobs.

Instead of eroding a particular industry, however, the housing bust left a glut of homes because of overbuilding and the foreclosure crisis. Follain (The study’s author) argues that the future of these cities is threatened in similar ways to that of Rust Belt cities.

‘Long-vacant neighborhoods are going to develop, and we can imagine what can happen,’ he said, including potentially higher crime and lower property taxes.”

Particularly hard-hit, are inland areas of California, this article says, as well as places in Florida and Nevada.

Read the study here.

-KG

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Filed under Economic Development, Real Estate, sprawl, The Housing Crisis

Rust Belt Tops List of Poorest Cities

This shouldn’t surprise anyone, but nevertheless:

#1. Detroit

#2. Cleveland

In chart form, if you prefer--via the Plain Dealer.

In chart form, if you prefer--via the Plain Dealer.

#3. Buffalo

#4. Milwaukee

#5. St. Louis

#6. Miami

#7. Memphis

#8. Cincinnati

#9. Philadelphia

Poverty workers in Cleveland blame the increase on unemployment.

This should send a message to the federal government. If we’re serious about addressing poverty in this country, we need to address the way the economic restructuring has affected Rust Belt cities. Taking tax dollars from the people in these cities and giving it to bankers in New York isn’t much of a solution.

-AS

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Filed under Featured, Urban Planning

The New, Suburban, Face of Poverty

Between 2000 and 2008, large metropolitan areas saw their suburban poverty rates grow at twice the rate of inner cities, according to a new report by the Brookings Institution.

For example, in 2008, 23 percent more people were living in poverty outside the city of Cleveland’s borders than inside it. That’s a 44 percent jump since 2000, for a total of 9 percent of the suburban population. Meanwhile the number of poor in the city of Cleveland decreased, WCPN Ideastream reports.

Similar trends were reported in Akron and Youngstown.

Also of note:

-Social service providers are ill equipped to serve the decentralized population of the new suburban poor.

-Sun Belt cities like Miami, Phoenix and Los Angeles, hard hit by the housing crisis, have seen significant increases in poverty over the last two years.

onion_news_wal-mart-AS

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Filed under Featured, sprawl, The Housing Crisis, Urban Poverty