Gentrification and Industry Displacement

In Winfred Curran’s article ‘From the Frying Pan to the Oven’: Gentrification and the Experience of Industrial Displacement in Williamsburg, Brooklyn, he discusses the effects of gentrification in Williamsburg on the industry in the neighborhood. Curran explains that gentrification is the migration of upper-income people, that are often professionals, managers and technicians, into neighborhoods that drive out lower-income residents. However, gentrification also displaces industry as lofts become attractive to developers who can turn them into residencies and make large profits. Although manufacturing does not play a large role in the urban economy, it still provides job opportunities for many low-income and uneducated immigrants and the industrial displacement deprives them of this livelihood. Curran argues that the industrial displacement is not an unfortunate result of gentrification, but is a consequence from the changing real-estate market that can be prevented.

Williamsburg was originally a neighborhoods filled with wealthy residents. It then shifted into a neighborhood of industry as many immigrants began to move in looking for jobs requiring little to no skill. The neighborhood is again shifting back to the upper-class demographic as a result of Williamsburg’s stock of lofts. Incoming residents are converting these lofts, often illegally, into residencies that sell for huge profits, driving up the market value of the neighborhood. This drove out many small manufacturers and even ended many businesses. The article documents many instances of business owners discussing their experiences with gentrification in Williamsburg and referring to the dilemma known as “From the frying pan to the oven.” Owners discuss that when they first moved away from Manhattan to Williamsburg in Brooklyn as rent prices increased, they believed they were finally free to settle down and run a steady manufacturing business. However, gentrification in Williamsburg keeps driving them out farther and farther.

In another study conducted by the University College London, researchers studied 13 mixed use developments in London to determine if industrial displacement can be prevented through policies and government intervention. Polices regarding affordable workspaces in mixed use developments have been implemented, and although they allow industries to exist in gentrified areas, they also harbor limitations and unintended consequences. Problems with authority intervention in preventing industrial displacement includes tensions faced by authorities and planners as they are trapped into the “growth-dependent” model where they rely on private-led development to secure social benefits through planning gain. This questions how fair policies are towards preserving industries as they may favor some manufacturing over others as a result of which business pertains more to residents, who are the driving force of profits. As a result, many industries are continuing to be driven out by gentrification.

Authority Intervention in Industry Displacement Study