Who is Facing the Consequences of Gentrification in Oakland?

Known as one of the most diverse cities in the country throughout the 1960’s and 70’s, Oakland, California, is a place of immense historical and cultural significance. However, in recent years, the social and economic landscape of the city has changed rapidly. The very streets where the Black Panther party was formed, and where its founders discussed issues of race, politics, and culture, are now bustling with yoga moms, bearing reusable Whole Foods bags in one hand and oat milk cold brews in the other. With new, wealthier residents pouring in, many Oakland natives are being pushed out.

How did this city undergo such an immense transformation in a matter of years? The answer lies in what is commonly referred to as gentrification: the process of the middle class moving to less affluent neighborhoods for cheaper housing, forcing residents to relocate in response to increasing home prices. Though gentrification is not unique to Oakland, it was named one of the two most gentrified cities in the country by a 2020 study from The National Community Reinvestment Coalition, along with its neighbor across the bay, San Francisco. While proponents of gentrification assert that new residents help improve cities by strengthening the economy and increasing funding to public services, many Oakland residents are reluctant to embrace this phenomenon.

In 2010, Oakland had a population of 390,724, with white residents making up 25.9% of the city and African-American residents making up 28%. Nine years later, the racial demographics of the city had changed drastically. With a population of 433,031, 35.5% of Oakland residents were white, and 23.8% African-American. Shifting demographics can be partially attributed to the desirability of closer proximity to San Francisco and cheaper prices. According to a report from Causa Justa, a housing advocacy group based in the Bay Area, the rent prices in places historically inhabited by African American communities have significantly increased in the past decade. North Oakland and West Oakland are two such examples.

The changing demographics of Oakland bring many to question whether the culture of the city has suffered due to gentrification. Sheng Thao, Oakland’s District 4 Councilmember, discussed changes in her district of the city that she has witnessed through her work.

“In a city as diverse as Oakland, any major change in demographics impacts the ways communities function. Shared lived experiences inspire culture and art that makes a community thrive, and if there is an exodus of one community, like our black residents, then the culture and art of Oakland takes a big hit,” Thao said. 

Despite claims that new stores and residents will help fix systemic issues in the city, Thao urges instead to invest in existing communities in Oakland. 

“Market rate development is not the cure to this problem. Only strong investments into these communities such as affordable housing, violence interruption programs, after school programming, strong educational services, and so forth will help heal these communities,” Thao said.

Among those facing the consequences of gentrification are children in public schools. 

“There's been more funding to the public schools following Prop 39. The problem, though, is that 45% of the funding goes to the 30% of the students that are in charter schools in Oakland. So while there's more funding for the schools, it's not equally distributed,” said Melissa (Barry) Hansen ‘85, a fifth grade teacher at Oakland’s Bella Vista Elementary School and an Athenian alum.

This lack of funding has impacted the ease with which public school administrators can purchase supplies for the school year.

“Our principal at Bella Vista didn't have the money to buy supplies this year,” Hansen explained.

Proponents of this development in Oakland point out that in tandem with the city’s changing demographics, the poverty rate has decreased by 9.2% since 2010. Whereas in cities like San Francisco, gentrification is synonymous with an increase in the white population, parts of Oakland have also seen an increase in middle class Latinx individuals moving to the city, starting small businesses in many neighborhoods.

“Where we once had vacant storefronts, we now have Latino businesses,'' former East Oakland Councilman Larry Reid said in an interview with SFGate.

Though residents of Oakland have differing opinions regarding the gentrification of their city, the effects of this phenomenon are far from over and will continue to reshape the face of Oakland for years to come.