This holiday season is a prime opportunity for gathering together. Neighborhoods can be a special place to share cheer from holiday lights or community potlucks to group caroling or holiday parties. This social connectedness fostered by neighborhoods has a significant impact on a person’s life and future trajectory. At Purpose Built Communities, our vision is that every neighborhood will be a pathway to prosperity and opportunity for those who call it home.
That’s why I am a passionate advocate for mixed-income housing, a concept that when well executed fosters a robust sense of community and social connectedness. At Purpose Built, we know that creating vibrant and diverse neighborhoods where everyone can thrive requires bringing together residents from various income levels. Research shows that those who live in concentrated poverty have less opportunity to advance and succeed. These communities often have limited access to resources such as high-performing schools, neighborhood-serving retail, and public spaces.
On the other hand, a mixed-income housing strategy creates the conditions for social capital to develop. Dr. Raj Chetty, economist and Professor of Public Economics at Harvard University who leads Opportunity Insights, has shown through his research how friendships across economic differences are more effective than anything else in boosting social mobility. Analyzing the social networks of over 72 million Facebook users between the ages of 25 and 44, he saw that cross-class connections in communities have the most promise of giving people a chance at upward economic mobility. He found that these friendships matter more than racial integration, economic equality, educational outcomes, or family structure.
Mixed-income neighborhoods lead to mixed-income schools where critical friendships can develop. When our policies and practices make it easier and more likely that those friendships will develop early in life and will be sustained over time, all people have a better opportunity to thrive. A mixed-income neighborhood strengthens the social fabric, promoting economic mobility, and opportunities for all residents to thrive.
To achieve this vision, we recognize that public funding alone is not sufficient to meet the vast housing needs of our communities. We must harness the power of the private sector and adopt innovative housing strategies that leverage private capital for the greater good – providing a fair return for the value delivered. At Purpose Built, we work with Network Members and their partners to develop strategies to attract private capital into neighborhoods that have suffered from disinvestment so that the new investment is additive and not extractive. By creating attractive, mixed-income neighborhoods with a range of amenities including high-quality schools and services, we can enhance the quality of life for all residents and create a more vibrant, sustainable neighborhood that puts everyone on a pathway to prosperity and opportunity.
I am excited to see the different ways that mixed-income housing is expanding throughout the Purpose Built Communities Network. For example, Connect Community in Houston, Texas broke ground on its first phase of mixed-income rental housing this year. It has been a long road for them, and we can’t wait to see their neighborhood and the progress at our 2025 National Conference. We have also seen Focused Community Strategies create more homeownership and rental opportunities for residents across the income spectrum in Atlanta, Georgia through the Rotational Capital Fund. The Fund has created homeownership opportunities and real wealth for neighbors while building social connections in a mixed-income neighborhood.
I firmly believe that poverty should not be a life sentence. Without high-quality, mixed-income housing, residents have little choice but to leave their neighborhoods when their incomes go up. We must create a foundation, instead, for a neighborhood that includes pathways and opportunities for all to remain and thrive. As we gather with our loved ones this holiday season, let us remember the importance of home and the blessings of social connectedness. Together, we can build a future where opportunities abound, and where the spirit of community lights the way.
