Gentrification Policy Sheet

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    Our homes. Our streets.

    HOT TOPIC:GentrificationWe are

    District 6

    "Im sorry but, I mean,

    bring it on," George

    Jackson said of gentrifi-

    cation. "We cant just be

    a poor city and prosper.

    George Jackson

    CEO, Detroit EconomicGrowth Corporation

    What is gentrification?JEN-TRI-FUH-KAH-SHUNWhen a neighborhood goes from one socio-economic class to another, from working class or poor neighborhoodto a more wealthy neighborhood, and a neighborhood of many people of color to one of a race-dominant white,

    its calledgentrification.

    Whats the big deal about gentrification?Scholars, city-planners and social activists have argued since the 1970s whether this is a good thing or not.

    Some people who say YES to gentrification think that when people with money bring it into a poor neighborhood,

    it tends to lift all boats. Those with money will spend it, and that money will create jobs and opportunity for local

    people. Those who say NO to gentrification, say just because people spend their money, doesnt mean there will

    be a benefit to local people. They also say, it not only doesnt create opportunity, but it forces people to move

    out because the rent goes up, then the people you know move away, and that causes a domino effect in theneighborhood changing the entire character of the neighborhood.

    Is gentrification an issue in Detroit?Recent activities in District 6 have sparked the debate on whether gentrification is happening in Detroit, specifically inSW Detroit and the newly named, Midtown Detroit in the Cass Corridor and downtown.

    In one situation, tensions rose when Birmingham investors issued eviction notices for tenants of a Henry Street apart-

    ment stopping the Section 8 vouchers to make way for new renters at market rate prices. Some said, as a result of

    the eviction notice, they would be left homeless.

    Another incident occurred after Corktown restaurant owners began their entry into the Mexicantown area with a new

    Hygenic Dress League mural, residents responded with graffiti that included Stop Gentrification and Pinche Migra.

    Investment areas in Detroit are outlined in the Detroit Future Cities Report, through the Detroit Works Project, whichtargets SW Detroit, renaming it Greater Downtown, with other neighborhoods. Implemented by the Detroit Economic

    Growth Corporation, the CEO of DEGC George Jackson is quoted saying, gentrification is one of the costs of progress.

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    References: Lees, Loretta [2008] Gentrification and Social Mixing: Towards an Inclusive Urban Renaissance, Urban Studies 45:2449; Media round-up with Huffington Post: http://

    www.huffingtonpost.com/tag/detroit-gentrification; Motor City Muckraker, http://motorcitymuckraker.com/2013/05/16/bring-on-more-gentrification-declares-detroits-economic-

    development-czar-george-jackson/; Moskovitz, Myron [2010] The Great Rent Control War, Golden Gate University School of Law School Digital Commons.

    No matter what your view is on gentrification, there are policies and practices that will help to support those who are struggling to keep their homes, their neigh-

    borhoods and their culture in tact. Here are just a few that other cities have employed to make their metropolitan equitable and safe for families. With nearly halfof the city renting their homes or apartments, and about 40% living in poverty, we need solutions that are fair and equitable for all people. There are stepsthe

    Detroit City Council can take to reduce harm to struggling families and neighborhoods. Here are some examples:

    Just Cause Eviction StandardsWhat is it?These laws protect renters by making sure landlords can only evict with prop-

    er cause, like failing to pay rent or destruction of property. Landlords can still

    evict tenants, but the JCES promote stability in a neighborhood by attempting

    to reduce turnover, especially where landlords may want to evict tenants inorder to get a higher rent.

    These rules are coupled with Rent Control laws so that when someone moves

    out, the rent of that apartment does not become unaffordable for another ten-

    ant of equal income. If they are written together, they can apply to areas in

    the city that are at risk of gentrification.

    Another important component is the enforcement of the ordinance to make

    landlords accountable to the city and its residents. Residents should also

    have a complaint procedure and a program to raise awareness that the pro-

    gram exists and how it works.

    Many cities across the United States have some form of Just Cause Eviction

    Standards including:

    Los Angeles

    New York

    Chicago

    Seattle

    Washington DC

    SanFranciscoFor more information see Policy Link at http://www.policylink.org/

    Rent ControlWhat is it?Rent control is a local ordinance that protects renters from high rent increases

    by ensuring gradual rent increases, making sure landlords can still make mon-

    ey and manage their properties. Rent control, or rent stabilization helps to pre-

    vent displacement through gentrification. During World War II, the entire coun-try was under rent control so landlords could not take advantage of workers

    flooding into shipyards, that was removed in 1945. In 1987, the City of Detroit

    joined over 180 other cities in passing a referendum that would help protect

    renters. That was quickly stomped out by the State of Michigan Legislature.

    The positive benefit of rent control is that affordable housing is maintained in

    good condition. In some situations, landlords conduct improvements on build-

    ings and then force up rents. This tool allows residents to stay in their homes

    after the landlord makes improvements, instead of making them move out.

    Good examples of rent control include aspects that: Determine the impact of raising rents

    Have a strong program to regulate landlords

    Include community participation in the administration

    Have a strong base rent and percentage of increase outlined

    Dont allow landlords to raise rent with high turn-over

    Cover any kinds of surcharges for improvements

    Incorporate enforcement

    Communities should mobilize to make this program a reality for municipalities.

    For more information see Policy Link at http://www.policylink.org/

    Policy Solutions

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