Gentrification can be defined as a process in which outside businesses and more expensive housing move to low-income or traditional cultural areas, which can push people out of their homes and communities. The neighborhood transformation associated with gentrification has more than economic impacts. These changes can completely alter community identity and negatively impact the mental health of residents—especially families who have lived in the area for generations. Below, explore the psychological impact of gentrification and displacement, and learn ways to challenge these changes so the integrity of culture and community can be upheld.

What is gentrification? 

A common way to describe the term “gentrification” is a process of neighborhood and cultural change in historically marginalized areas. Individuals with higher incomes and education may move into these neighborhoods, and over time, housing costs may rise, and new construction and upgrades to existing buildings may transform the area. Gentrification frequently happens in the urban core and central city neighborhoods. These urban centers tend to have characteristics that make them appealing to newcomers, such as: 

• Historical character
• Lower property values
• Close proximity to transportation and good jobs

This process can lead to displacement of the original residents, who may find they can no longer afford housing costs. It’s also possible for the original residents to be forced out via eviction, lease non-renewal, or prohibitive policies. 

Cultural displacement, or a sense of no longer belonging despite continuing to live in the neighborhood, can also occur. Because displacement so commonly accompanies gentrification, you’ll often see “gentrification and displacement” referred to as one term. Historically, corporations, investors, and the government have used gentrification to make more money, as building new homes and businesses in lower-income areas often brings in new clientele and increased property value over time.

How gentrification happens in urban neighborhoods

Gentrification in urban areas usually begins when people with higher incomes move into urban neighborhoods. Over time, this can change the housing market, leading to rising property values, as well as the rental market, leading to rising rents. When property prices rise, the original residents of the area can be forced out or displaced. As more of the original residents leave the area, the median home value can further increase. Rising prices tend to attract different demographics, which can change the cultural character of the area.

What drives the gentrification process?

Multiple factors drive the gentrification process, including the following:

• Non-public investments
• Market forces
• Local governments
• Residential development, urban development, and urban renewal programs

It’s common for city movement to begin with young professionals who are seeking lower rent and property prices in major cities. With time, the inner city area may become populated by higher-income groups. Industrial cities can be transformed over time due to gentrification and displacement.

Which communities are most commonly impacted by gentrification?

Gentrification often causes new demographics to enter communities (often low-income neighborhoods), replace local businesses, and displace pre-existing residents from their homes. It often affects Indigenous communities, communities of Black individuals and other people of color, and other areas where culture is rich and essential to community identity. 

Over the past fifty years or so, it has been common for gentrification to begin in low-income communities, which can also be historically marginalized communities. As a result, working-class, low-income families and low-income households can be displaced as demographic change occurs.

In many cases, these changes can be devastating. Gentrification can happen in relatively small neighborhoods, like the historically Black neighborhood and Black community in East Austin, Texas in the early 2000s, or on a large scale in developing countries. Neighborhood change often starts small, and gentrification and displacement of the longtime residents can occur over the course of decades.

Displacement types and the experience of residential mobility

Gentrification and displacement frequently go hand in hand, and there are different kinds of displacement. Direct displacement, for example, usually refers to situations in which longtime residents are forced to move due to being evicted or their housing being demolished to make room for new construction. Meanwhile, indirect displacement can happen when pre-existing residents are essentially forced out of their homes due to rising rent prices or property values. This residential mobility is often seen as one of the negative consequences of gentrification.

Aside from direct and indirect displacement, cultural displacement can also occur. This type of displacement is typically experienced by residents who remain in their neighborhoods as they are gentrified. These individuals may witness their neighbors leaving, businesses shutting down and being replaced, and the culture of the neighborhood shifting. These changes often lead to a sense of loss and a lack of community.

The impacts of gentrifying neighborhoods on community identity and culture

Many groups also face physical and mental health care inequities that make seeking support difficult or impossible, which can significantly impact health outcomes. Below are some of the changes gentrification brings that may harm mental health. 

Loss of community due to gentrifying neighborhoods 

When new businesses, homes, and attractions are built in areas that are being gentrified, communities can lose ethnic diversity, as well as historical and cultural character. New people–often wealthier residents–come in, taking up more space in traffic and local businesses. Often, people who move into gentrified communities are those of a different identity or social class. For example, in many historically Black cities or neighborhoods that have been gentrified, large numbers of Black families have had to move out due to rising costs, leaving a primarily non-Hispanic white residents where Black culture was historically lived and preserved. 

New York City neighborhoods are an often-cited example of how gentrification can lead to community loss and exacerbate mental health inequities. Data reveals that the Black population in the Bedford-Stuyvesant neighborhood of Brooklyn decreased by 22,000 people between 2010 and 2020, while the white population rose by 30,000. 

Since the beginning of this change, homes in Brooklyn have increased in cost, becoming out of reach for most people—especially those from marginalized and original communities. As a result, specific neighborhoods have changed in class and identity. When people lose their community in this way, they can also lose their cultural ties, family homes, and businesses.

Disconnect from culture causing psychological distress  

Gentrification can influence mental health because, culture tends to be important to mental wellness. A disconnect from culture can occur when a person loses their physical community. 

Close-knit residents based in the same area often spend time together, host events, involve themselves in community fundraising, and practice cultural traditions. When people lose the physical space, ethnically diverse neighbors, and funds to practice these critical events and traditions, their mental health may be impacted, and their traditions could be at greater risk of being lost to time.

Financial challenges and displacement 

Due to the inflation caused by gentrification, many community members can no longer afford to live in the same area where they’ve resided all their lives. They may lose their homes or businesses, which are often purchased by companies or individuals from affluent households and turned into “cookie-cutter” homes, apartment complexes, and buildings constructed primarily to bring in as much money as possible. Original inhabitants often move to cheaper areas, where they may not know their neighbors or communities and are often more isolated. More affordable areas can sometimes be unsafe, which can put families into difficult situations.

The psychological impact of gentrification on original communities in gentrified neighborhoods

Gentrification can impact communities in many ways. The following are some of the most common psychological impacts on the original members of gentrified communities. 

Displacement anxiety and mental health conditions in those in gentrified neighborhoods

When families or individuals in gentrified neighborhoods are displaced due to rising housing costs, a loss of community, or development projects, displacement anxiety is a risk. Individuals may worry about financial matters, work stress, family, or where to go. Some may face the risk of homelessness, whereas others may have to relocate to unfamiliar or even unsafe areas due to the housing crisis in low-cost communities. They may also worry about others in their community facing similar challenges. Anxiety can lead to impacts like the following:

• Persistent stress
• Trouble sleeping
• Pain
• Depression
• Other physical and mental health challenges

Trauma and poverty as part of the psychological impact of gentrification

Researchers suggest that gentrification can cause a chain of “community and individual traumas.” Losing one’s home, community, and culture can cause individual distress and may be classified as traumatizing, especially when the loss leads to displacement, homelessness, poverty, or similar life-altering situations. In addition, witnessing other people from your community losing their homes and businesses can be painful and traumatic. Some people develop post-traumatic stress disorder (PTSD) due to these experiences.

Loss of power, leading to changes that harm original community members

Often, when entire areas are gentrified, new government officials are voted in as the original community loses voting power and the majority vote as a result of displacement. Any new laws that directly harm original community members and displaced residents—such as new zoning laws, economic changes, or laws that discriminate against certain identity groups—may result in further trauma for these individuals. Trauma can put someone at a higher risk of negative consequences like psychological distress, depression, anxiety, stress, and PTSD, among other challenges. 

What can individuals and communities do to address gentrification?

It may be helpful for those who wish to address gentrification to get involved with local governments. Local policies can impact gentrification, and advocating for developers to actively pursue community engagement may make a difference. Spreading awareness of the housing crisis and the impacts of urban development and urban renewal programs can be an important step as well. Below, discover other ways to fight gentrification.

Fighting gentrification by supporting local cultural activities, businesses, and communities

There are many ways to push back against gentrification in your community or in neighboring communities. For example, if you live in a big city where specific neighborhoods are being gentrified, you might travel to those neighborhoods to support local businesses. Eat at restaurants owned by long-time locals, buy art from local artists, and share information about local events for people to attend. You can also spread the word about these businesses by giving them positive reviews online. 

Another option is to talk to community members and ask them how you can help. You can also support funding for urban health support organizations to improve adult mental health outcomes in the area. 

By putting your money and time into supporting community resources and businesses, you may be able to help them stay alive and fight against competition in the area. Try not to eat at chain restaurants owned by corporations in these areas if they were recently built, and avoid renting apartments in new buildings located in traditionally cultural neighborhoods.

Activism as a strategy against gentrification and psychological distress in your neighborhood 

Because gentrification is usually linked to laws and the economy, local political activism can be an effective strategy for promoting positive change. By fighting against gentrification, communities may be able to save important landmarks, buildings, and historical businesses. 

Many nonprofits are working across the US to end gentrification in communities. For example, in Atlanta, Community Movement Builders is an organization working to reduce housing costs, save local businesses, and uphold community identity. You might look for or organize a group like this in your community.

Affordable housing and rental cap limits for neighborhood members 

Housing prices can be an important part of keeping a community alive despite the threat of gentrification. When housing prices increase, many people lose their homes. Some community organizations are working to pass rental cap legislation so landlords are prohibited from increasing rent past a certain point. In addition, joining activist efforts for housing affordability can help put projects into place that build or establish affordable housing in these areas, especially for those displaced due to gentrification and rising costs.

Mental health support options: Coping strategies, therapy, and more

If you have been impacted by gentrification and are experiencing mental health distress, you’re not alone. Practicing healthy emotional coping strategies and self-care can be vital. Maintaining community connection can provide you with support and a sense of belonging. 

Therapy can be a helpful option for coping with mental health challenges, trauma, and stress, as well as fostering resilience. If you do not have the resources to attend in-person therapy, which is often more expensive, online counseling through a platform like BetterHelp may be a more affordable and convenient option. 

Through an online platform, you can specify if you want to meet with a therapist of a particular identity, such as an LGBTQIA+ counselor, a Black, Indigenous, or Person of Color (BIPOC) provider, or a therapist of a certain faith tradition. You can also mark a preference for your therapist’s gender and specify the unique challenges for which you’re seeking support to increase your chances of getting matched with someone with experience in that area. Seeking a trauma-informed provider who works with historically marginalized communities may be helpful for those impacted by gentrification and displacement. 

Research suggests that online therapy produces the same client outcomes as in-person therapy. Virtual counseling can be an effective treatment for a variety of mental health conditions and challenges, and it is often more readily available and affordable than its face-to-face counterpart.