Elsevier

Cities

Volume 23, Issue 2, April 2006, Pages 99-108
Cities

Second wave gentrification in inner-city Sydney

https://doi.org/10.1016/j.cities.2005.09.001Get rights and content

Abstract

There are few processes more central to the social and cultural transformation of the inner city in the past half century than gentrification. The social and economic changes that have engendered gentrification have transformed its character and meaning; it has become principally a strategy for redevelopment of brown field sites by the state and capital interests. Based on research in the formerly derelict harbour-front Sydney suburbs of Pyrmont and Ultimo, this paper shows how economic restructuring, state intervention, developers and cultural change have combined to totally transform the area. Drawing on [Wyly, E K and Hammel, D J (2001) Gentrification, Housing Policy, and the new context of Urban redevelopment, in Critical perspectives on Urban Redevelopment, 6 pp. 211–276], we have termed this second wave gentrification.

Introduction

The character of gentrification has changed dramatically in the past two decades (Butler and Robson, 2001, Hackworth, 2002, Phillips, 2004). Several inter-related factors lie behind this transformation, including economic restructuring; urban consolidation or compact city policies; state intervention in the development of brown field sites using principally the housing demand of the new middle class; the rent gap of rust belt zones and the windfall profits of private developers who restructure and redevelop inner-city areas. This paper examines the decline and revitalization of Pyrmont Ultimo in inner city Sydney and compares this experience with recent developments in other “postindustrial” cities. We briefly review Wyly and Hammel’s (2001) argument regarding three waves of gentrification and conclude that although the gentrification process in Pyrmont Ultimo cannot be neatly captured by Wyly and Hammel’s periodization, it does have components of what they have described as second wave gentrification. We show that gentrification no longer invariably means the displacement of an industrial working class and its replacement by a wealthy, young middle class who restore traditionally working class housing. Rather, it is now a multi-class phenomenon and the accommodation offered is often in apartment blocks built by major developers that differ significantly in quality, prestige and view.

Section snippets

Defining the concept of gentrification

Some have argued there is little point in creating a hegemonic definition of gentrification or engaging in endless debates about the meaning of the term (Slater et al., 2004). We agree that a single hegemonic definition of gentrification is of little utility due to the variability of the processes involved. Others have sought to separate urban development from gentrification, seeing gentrification as a bottom-up process, whereas urban development is driven by the state and/or developers (

The gentrification process

The debate on gentrification has been dominated by the question of what drives the process (Smith, 1996, Wyly and Hammel, 2001, Zukin, 1990). Analyses have focused on shifts in individual preferences and lifestyle leading to a desire for inner-city living; sectors of capital creating the conditions for the process to take off; global restructuring and a remaking of the class structure, or the state endeavouring to curtail urban sprawl through high density development (Smith, 1996, Hamnett, 1991

Displacement

In the early stages of the economic restructuring of developed economies, gentrification of inner urban areas certainly did mean displacement, as these areas were predominantly inhabited by aging members of an increasingly marginalized, industrial workforce. In the nearly half a century since Ruth Glass coined the term, many cities in the developed economies have experienced an expansion of the service class and declining industrial employment (Hamnett, 2000, Sassen, 1991, Wilson, 1996). In

Gentrification wave theory

In reviewing our findings from this research, we use the term second wave gentrification with a question mark due to the difficulty in definitively periodising gentrification. The notion of waves of gentrification and the term ‘second wave gentrification’ is deployed in the work of Wyly and Hammel, 1999, Wyly and Hammel, 2001, which we will discuss here as a basis for comparing contemporary gentrification in Sydney to other contexts. According to Wyly and Hammel (2001), in the US context the

The research area, Pyrmont–Ultimo

In this section, we examine the dramatic decline and more recently the spectacular and rapid revitalization of Pyrmont and Ultimo (Pyrmont Ultimo), two adjacent inner-city neighbourhoods in Sydney, located on the harbour and within walking distance of Sydney’s CBD (see Figure 1). In order to understand gentrification in Pyrmont Ultimo in the 1990s, it is essential to take cognizance of the general structural and cultural shifts and to highlight the specificities of the neighbourhood. We show

The decline of Pyrmont–Ultimo

The decline of Pyrmont Ultimo is, in many ways, a classic illustration of the potential impact of economic restructuring on inner-city neighbourhoods. The decline, as will be illustrated, closely followed the shift in advanced capitalist economies away from the “mass production system” to more service-based economies (Wilson, 1996, pp. 26–27). Accompanying this deindustrialization of the city in advanced economies was a dramatic decline in the availability of blue collar jobs in inner-city

Analysing the gentrification of Pyrmont Ultimo

The end of the 1980s saw the start of a dramatic shift in the perceptions of Pyrmont Ultimo. The state Government undertook the redevelopment of the goods yards of the adjacent Darling Harbour as a commercial and entertainment space for Australia’s bicentennial in 1988. In the 1990s, the redevelopment of Pyrmont–Ultimo began in earnest with the establishment by the state of the Urban Development Authority the City West Development Corporation in October 1992 and by the end of the decade the

Conclusion

Like other global cities, Sydney is rapidly moving toward the social and economic character of a post-industrial service city (Hamnett, 2000). The gentrification process in Pyrmont Ultimo reflects a global phenomenon underpinned by these economic structural changes. Like Hackworth (2002) observations of New York it reflects a coalition of the state and private developers mobilising gentrification as a strategy for redevelopment, escalating property values and declining resistance to

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