Gentrification: The new wave to increase your wealth

Gentrification

Gentrification is a constant in our society, it is the change and progress that little by little are observed in different areas of Mexico City. The modernization that can be considered as the new wave to increase the value of your assets when acquiring a house or apartment.

This may not surprise you: it is a reality that we are all looking for a positive change in our lives: 

Get a better job, adopt a better lifestyle, a better diet, try to stay healthy and, without a doubt, find a great place to live and develop.

But, you ask, what does all this have to do with gentrification? Simple, just as we always seek to go forward and be better in some way, the city does the same in terms of its development, occupying specific and strategic places.

In short, in the city specific spaces are adopted that previously did not have a great growth, but that, now, are suitable to develop a better infrastructure.

According to FONDèU , the word gentrification is an adaptation to Spanish of the English term gentrification, which refers to the process by which the original population of a sector is displaced by another with a higher purchasing power.

If you want to know the best spaces in the city, I recommend that you read: Everything you need to know about the real estate boom in Mexico in election year.

But why does this displacement exist? When modernizing a space, different sectors of society begin to come to it, which will have a closer relationship thanks to the common elements they share.

Now, although at first the use of the word was immersed in the world of sociology and urbanism, the word gentrification has begun to insinuate in the media.

For example, in phrases like “The neighborhood was cleaned in every way, the social fabric changed and the land was revalued.”

When was the gentrification phenomenon born?

The process is born when a group of people discover a neighborhood of people of a low economic level that, despite being commercially degraded and depreciated, has a good relation between quality and price.

Thus, they decide to settle in it, using the shopping opportunities to their advantage.

Not just any colony can be suitable for gentrification. The ideal spaces should be located near the city center and should have certain advantages, such as being immersed near the main employment points.

Currently, gentrification projects are carried out in a more balanced way, allowing inhabitants from social classes with less economic capacity to remain in the gentrified area.

How does this relate to a better way of living?

When the gentrification of a place is generated, it is because it is about offering better services to the new and current inhabitants, creating a space in which they can feel comfortable, and in which they have better options to develop.

For example, if before a colony lacked public libraries, museums and restaurants; Thanks to gentrification, it is very likely that it will acquire these services and, at the same time, people with similar interests will be present in these spaces.

One case is that of the Santa María la Ribera neighborhood, which is now well known for its cultural spaces, for one of the largest libraries in Mexico and, of course, the Kiosko Morisco where cultural activities are frequently held.

This environment, full of respect for the inhabitants and their visitors, allows you to enjoy the nature and architecture of the space in the company of a good friend, a pet or your family.

Many inhabitants say and have heard that this colony is now the new Rome.

Without a doubt, Mexico City is known for its size, its diversity, the many lifestyles that it encompasses, the lights that never go out, the music at all hours and the thousands of activities that are in this vast paved lake.

These characteristics are present around almost the entire city and it is sought that, as time passes, it may be possible to have a greater number of attractive spaces.

What is the process by which gentrification is formed?

It has been observed that gentrification has been formed through living three main stages: birth, abandonment and reappraisal.

Birth of gentrification

The first phase of gentrification is characterized by the fact that it begins in an area where labor activity in the city predominates. And the first industrial advances were encouraging the urban space to be restructured.

Industrialization generates a reconfiguration of the urban center due to the presence of productive activities.

In this way, industrial zones are born that can arise on the old parts of the city and give value to new suburban areas where the upper classes move.

Abandonment prior to the onset of gentrification

The second phase is the abandonment of the working-class sector in the area. It has been observed that before there is a significant difference in income, there is a phase of decapitalization of the area.

This process generates large differences between the value of the land in a degraded area and its potential value due to its location.

If the sector did not show devaluation and its enhancement occurred gradually, within a different historical context, the replacement of the population would not occur to such a high degree or in such short periods.

This devaluation has different explanations. The most important is the decapitalization of the area, both in the real estate market and in industrial production.

In a given period, real estate capital moves from the center of the city to the edges; then to new developments within the city and finally to the suburbs.

The times and types of spaces produced by the real estate phenomenon may vary, but they have in common the loss of interest in the old industrial neighborhoods and the redirection of investment towards the growth of the city.

Revaluation and gentrification

The importance of services, tourism and real estate assets in cities tend to put a great value on the prices of the real estate proposal, which is becoming more and more expensive in city centers.

The price becomes a weight that excludes the lower classes, while the proximity to tourist, cultural, financial and commercial centers a source of attraction for the classes with greater purchasing power.

As you can see, the revaluation is the last phase, with this the cycle is closed and the gentrified space begins to be perceived in another way.

Now there is a renewed space that will not stop developing and improving over time, because it was born with this intention. These new spaces, little by little, are considered the best within the city, due to their planning.