The dictionary defines gentrification as “the process whereby the character of a poor urban area is changed by wealthier people moving in, improving housing, and attracting new businesses, often displacing current inhabitants in the process”. It was first coined by sociologist Ruth Glass, describing the process occurring in London during the ’60s. Obviously one of the main factors that comes with gentrification is the rising cost of property, especially over a short period of time. Another good indicator is the number of fancy cafes serving chai lattes and artisanal sourdough bread.
Two local suburbs come to my mind when someone mentions gentrification – Thirroul and Port Kembla – and both, I’d suggest, are in different stages of gentrification. Where Thirroul is more advanced, Port Kembla is in its early stages. Both are great places and while you’d have to go a way back in time to describe Thirroul as ‘working class’, there’s still a working class vibe in Port Kembla.
If we look at the last 10 years as a snapshot. In 2016 the median house price in Port Kembla was a little over $500k and today it’s a little over $900k – 176% increase. The 2016 median house price in Thirroul was $1m and today it’s hovering around $1.8m – a 180% increase. Even-Steven on the increase. Median household incomes in Thirroul are roughly double that of Port Kembla – that was the case 10 years ago as it is today.
I haven’t counted the cafes flogging artisanal bread in both suburbs but I reckon we know the answer! So, apart from the fact that if anyone out there with capacity to buy property should consider Port Kembla, what does this mean?
Well, we all know that gentrification isn’t normally seen as a good thing unless, of course, you’re one of the gentrified. The architectural commentator, Elizabeth Farrelly (one of my hero authors) has charted the evolution of gentrification of some of Sydney’s inner-city suburbs like Surry Hills and Redfern. She says that first come the artists looking for cheap rent. They bring vibrancy and an element of cool with their artistic events, enterprises and endeavours. These are followed by the allied arts, such as graphic designers, filmmakers and, yes, architects. You see the trend here – as the wages increase so too does the cost of the area, pricing the original inhabitants progressively out of town until you get something like Paddington. You know it’s all over when Justin Hemmes opens up a restaurant in the area!
In an article on The Fifth Estate, Chris Curtis goes one step further than gentrification, labelling it blandification – ouch!
Now, when it gets to the point of blandification, this can be bad for all and sundry, including property developers keen to ride the wave of the initial gentrification. As the original working class/artist mix moves on due to being priced out, so too does the distinct character that attracted people there in the first place.
Catch 22, you say? Well, it doesn’t have to be this way. This is where a good mix of housing, including the affordable variety, comes in. New areas undergoing gentrification need to have incentives placed on developments to include decent proportions of affordable housing. Far from being a cost to the developer, affordable housing ensures the area keeps its vibrancy and diversity, making the initial investment and the area retain its value. But when I say decent, I mean one-third, not the paltry 6.5% the Corrimal Cokeworks development is proposing. When the government sets unachievable housing targets they’re simply trying to win the next election. To make a dent in our housing crisis, there needs to be hard policy to push affordable housing, even if that means giving extra height to developers.
It may be too late for Thirroul, but efforts must be put in place in Port Kembla, sooner rather than later, so it keeps its special sauce and all of its inhabitants can enjoy chai lattes and sourdough.
