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The Other Side of LA’s Sprawl: Race, Real Estate, and Division
Race and Real Estate: Discover how redlining, white flight, and racial segregation shaped Los Angeles’ sprawling growth. From housing discrimination to the Watts and 1992 uprisings, explore how history still impacts LA’s neighborhoods and future.
Last Updated on September 6, 2025 by Daily News Staff
The Other Side of LA’s Sprawl: Race, Real Estate, and Division
When people think about Los Angeles sprawl, the first images that come to mind are freeways, cars, and endless suburbs. But beneath the surface lies another story—one shaped by real estate practices, racial discrimination, and policies that shaped where people could and couldn’t live. The sprawling Los Angeles of today was built not just by developers and freeways, but also by a long history of racial divides that left a lasting imprint on the city.
🏘️ Redlining and Housing Discrimination
Beginning in the 1930s, federal housing agencies and banks used maps to classify neighborhoods by their investment risk. Areas with large Black, Latino, Asian, or immigrant populations were outlined in red—this practice became known as redlining.
Families in redlined areas were routinely denied mortgages and loans. White neighborhoods and new suburban developments received FHA-backed loans and investment, fueling growth. The result: homeownership, the single most important tool for building generational wealth in America, was largely out of reach for minority families.
This meant that even as Los Angeles boomed, many Black and Latino residents were effectively locked out of suburban growth.
🚙 White Flight and Suburban Growth
After World War II, the automobile and freeway expansion opened vast new areas for development—the San Fernando Valley, Orange County, and beyond. Coupled with federal housing subsidies, suburban homes were affordable for many white families.
But this migration was also driven by white flight—the movement of white residents out of central Los Angeles into segregated suburbs. Realtors often stoked racial fears, using tactics like blockbusting (warning white families that Black families moving in would lower property values).
The sprawl of LA was therefore not simply a neutral process of growth, but one deeply tied to racial exclusion.
🔥 Racial Divide and Civil Unrest
The legacy of segregation and economic exclusion left lasting scars. By the mid-20th century, many minority communities in South Los Angeles and East LA faced poor schools, limited job access, and heavy policing.
Police arrest a man during the riots on August 12. New York World Telegram
Two major uprisings highlighted this divide:
Watts Uprising (1965): Sparked by police brutality, but fueled by frustration over unemployment, poor housing, and systemic racism. LA Uprising (1992): Following the Rodney King verdict, long-standing inequalities exploded into violence, exposing the city’s deep racial and economic divides.
Aerial view of two buildings on fire on Avalon Blvd. between 107th and 108th Streets during Watts Riots, Los Angeles. Image: George R. Fry, Los Angeles Times
These events weren’t isolated—they were directly tied to decades of disinvestment and exclusion from the prosperity of Los Angeles’ sprawl.
🌆 What’s Different Today?
Los Angeles today is one of the most diverse metropolitan areas in the world, and many once-segregated neighborhoods are now multicultural. Federal laws have ended official redlining, and some efforts have been made to encourage fair housing and reinvestment.
But challenges remain:
The racial wealth gap persists, as the legacy of denied homeownership still echoes. Zoning laws continue to favor single-family housing, limiting affordability and reinforcing old divides. Gentrification in areas like Boyle Heights, Echo Park, and Leimert Park raises fears of displacement for longtime residents. Meanwhile, the homelessness crisis reflects structural inequities in housing access across communities.
Instead of white flight, today’s trend is wealth flight—higher-income residents moving outward or even leaving California, while working-class and immigrant communities remain central to LA’s cultural identity.
✨ The Real Story of LA’s Sprawl
Cars and freeways shaped Los Angeles, yes—but so did policies and prejudices that determined who could live where. The city’s fragmented geography isn’t just about mobility—it’s about power, opportunity, and exclusion.
Los Angeles is still working to overcome these divisions. Understanding this history is essential to building a more connected and equitable city for the future.
📚 Related Links & Resources
Dive into “The Knowledge,” where curiosity meets clarity. This playlist, in collaboration with STMDailyNews.com, is designed for viewers who value historical accuracy and insightful learning. Our short videos, ranging from 30 seconds to a minute and a half, make complex subjects easy to grasp in no time. Covering everything from historical events to contemporary processes and entertainment, “The Knowledge” bridges the past with the present. In a world where information is abundant yet often misused, our series aims to guide you through the noise, preserving vital knowledge and truths that shape our lives today. Perfect for curious minds eager to discover the ‘why’ and ‘how’ of everything around us. Subscribe and join in as we explore the facts that matter. https://stmdailynews.com/the-knowledge/
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PG&E Donates $1 Million to Local Food Banks to Help Feed Families
PG&E donates $1 million to local food banks across Northern and Central California—equivalent to about 3 million meals—supporting 38 food banks serving 47 counties.
A third major food-bank contribution since September
The $1 million gift marks the third food-bank-focused contribution since September from PG&E or The PG&E Corporation Foundation (the PG&E Foundation). Combined, those efforts bring PG&E’s total community food support in 2025 to $2.37 million. PG&E emphasized that the funding for these charitable contributions comes from PG&E shareholders—not customers.Food banks facing record-breaking demand
Food banks across California are reporting pressure levels not seen since the pandemic. Officials with the California Association of Food Banks say demand has reached record highs, driven in part by an unexpected surge during the federal government shutdown this fall. “California food banks experienced an unexpected surge with the [federal government] shutdown this fall. So, we reached out for help on their behalf and PG&E responded,” said Stacia Levenfeld, Chief Executive Officer of the California Association of Food Banks. “Their $1 million gift to food banks throughout Northern and Central California will have a meaningful impact on the lives of millions of people this holiday season and help food banks continue their critical work in our communities.” PG&E leaders framed the donation as an extension of a longstanding partnership with food bank networks. “We are grateful to help local food banks fulfill their mission during this time of increasing demand, especially as more families and seniors are struggling through the holiday season,” said Carla Peterman, Executive Vice President, Corporate Affairs, PG&E Corporation and Chair of The PG&E Corporation Foundation Board. “Our longstanding partnership with the California Association of Food Banks supports the safety net that is our local food banks.”Where the 2025 food support has gone
PG&E outlined additional contributions made earlier in the year:- September: The PG&E Foundation awarded $1.12 million to support local food banks, tribal food banks, and senior meal programs.
- November: The PG&E Foundation donated $250,000 to the California Association of Food Banks’ Emergency Response Fund.
Equity-focused grant distribution
The California Association of Food Banks notes that while California produces nearly half of the nation’s fruits and vegetables, more than one in five residents still don’t know where their next meal will come from. Food insecurity rates are even higher in many communities of color. PG&E said grant amounts awarded to local organizations will account for county poverty and unemployment levels, using a formula from the California Department of Social Services. The goal: promote equity by directing more support to counties with higher need.About the PG&E Corporation Foundation and PG&E
The PG&E Corporation Foundation is an independent 501(c)(3) nonprofit organization, separate from PG&E and sponsored by PG&E Corporation. PG&E is a combined natural gas and electric utility serving more than 16 million people across 70,000 square miles in Northern and Central California. More information is available at pge.com and pge.com/news.Why this matters
As food banks brace for sustained demand beyond the holiday season, large-scale donations like PG&E’s can help stabilize local supply—especially when distributed with an equity lens that targets the counties facing the steepest economic pressures. For families, seniors, and individuals navigating rising costs, the impact is immediate: more meals available now, and stronger community support systems heading into the new year. Community links:High Demand Marks “Veggies for Veterans” Event Amid SNAP DelaysLink: https://stmdailynews.com/high-demand-marks-veggies-for-veterans-event-amid-snap-delays/
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The Empty Promise: Lynwood’s Lost Downtown Dream
In the 1970s, Lynwood, CA, dreamed of a downtown mall anchored by Montgomery Ward. Decades later, the empty lots told a story of ambition, delay, and renewal.
Artistic Image: R Washington and AI
In the early 1970s, Lynwood, California, dreamed big.
City leaders envisioned a new, modern downtown — a sprawling shopping and auto mall that would bring jobs, shoppers, and a sense of pride back to this small but growing city in the southeast corner of Los Angeles County. At the heart of the plan stood a gleaming new Montgomery Ward department store, which opened around 1973 and promised to anchor a larger commercial center that never fully came.
But for those of us who grew up in Lynwood during that time, the promise never quite materialized.
Instead, we remember acres of empty lots, chain-link fences, and faded “Coming Soon” signs that sat for decades — silent witnesses to a dream deferred.
The Vision That Stalled
In 1973, Lynwood’s Redevelopment Agency launched what it called Project Area A — an ambitious plan to clear and rebuild much of the city’s downtown core. Small businesses and homes were bought out, land was assembled, and the city floated bonds to support new construction.
For a brief moment, it looked as if the plan might work. Montgomery Ward opened its doors, serving as a retail beacon for the area. Yet the rest of the mall — the shops, restaurants, and auto dealerships — never came.
By the mid-1970s, much of downtown had been bulldozed, but little replaced it. And by the time Ward closed its Lynwood location in 1986, the vast lots surrounding it had become symbols of frustration and unfulfilled potential.
What Happened?
Some longtime residents whispered about corruption or backroom deals — the kind of speculation that grows when visible progress stalls.
But newspaper archives and redevelopment records tell a more complex story.
Lynwood’s plans collided with a series of hard realities:
The construction of the Century Freeway (I-105) disrupted neighborhoods and depressed land values. Environmental cleanup and ownership disputes slowed development. Economic shifts in retail — as malls in nearby Downey, South Gate, and Paramount attracted anchor stores — drained the local market. And later, political infighting among city officials made sustained redevelopment almost impossible.
To this day, there’s no public record of proven corruption directly tied to the 1970s mall plan. What did exist was a tangle of bureaucracy, economic change, and missed opportunity — a perfect storm that left Lynwood’s heart half-built and half-forgotten.
Growing Up Among the Vacant Lots
For those of us who were kids in Lynwood during that era, the story is more personal.
We remember the sight of the Montgomery Ward building — modern and hopeful at first, then shuttered and fading by the mid-1980s.
We remember riding bikes past the empty dirt fields that were supposed to become shopping plazas. And we remember the quiet frustration of adults who had believed the city’s promises.
Those empty blocks became our playgrounds — but they also became symbols of the gap between what Lynwood was and what it wanted to be.
A New Chapter: Plaza México and Beyond
By the late 1990s and early 2000s, the dream finally resurfaced in a new form.
Developers transformed the long-idle site into Plaza México, a vibrant commercial and cultural hub that celebrates Mexican and Latin American heritage.
It took nearly 30 years for Lynwood’s downtown to come alive again.
The result is beautiful — but it’s also bittersweet for those who remember how long the land sat empty, and how many local businesses and residents were displaced in pursuit of a dream that took a generation to fulfill.
Looking Back
The story of Lynwood’s lost mall isn’t just about urban planning.
It’s about hope, change, and resilience. It’s about how a community tried to reinvent itself — and how the children who grew up watching that effort still carry its memory.
Sometimes, when I drive through that stretch of Imperial Highway and Long Beach Boulevard, I still imagine what might have been: the bustling mall that never was, and the voices of a neighborhood caught between ambition and uncertainty.
📚 Further Reading
Montgomery Ward will close its Lynwood store. (Jan 3 1986) — Los Angeles Times.
Montgomery Ward Won’t Confirm Deal: Lynwood Council Says Retailer to Stay Open. (Jan 16 1986) — Los Angeles Times.
“Las Plazas of South LA” — academic paper by J.N. Leal (2012), discussing retail and redevelopment challenges in the region including Lynwood.
Proposed Lynwood Development Draws Support and Criticism. (2007) — Los Angeles Sentinel.
Wikipedia page: Lynwood, California — overview of the city including mention of Plaza México redevelopment.
Dive into “The Knowledge,” where curiosity meets clarity. This playlist, in collaboration with STMDailyNews.com, is designed for viewers who value historical accuracy and insightful learning. Our short videos, ranging from 30 seconds to a minute and a half, make complex subjects easy to grasp in no time. Covering everything from historical events to contemporary processes and entertainment, “The Knowledge” bridges the past with the present. In a world where information is abundant yet often misused, our series aims to guide you through the noise, preserving vital knowledge and truths that shape our lives today. Perfect for curious minds eager to discover the ‘why’ and ‘how’ of everything around us. Subscribe and join in as we explore the facts that matter. https://stmdailynews.com/the-knowledge/
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Population Density: How Los Angeles Compares to New York and Chicago
How dense are America’s biggest cities? A clear breakdown of population density in Los Angeles, New York City, and Chicago—city limits vs metro areas—and why it matters.
Population Density: How Los Angeles Compares to New York and Chicago
When people think of crowded American cities, New York City usually comes to mind first. Los Angeles, by contrast, is often labeled as “sprawling,” while Chicago is seen as a middle ground. But population density tells a more nuanced story—especially when comparing city proper numbers versus metro-area density.
City Proper: How Dense Are the Cities Themselves?
Looking only at official city boundaries, the differences are stark:
New York City averages about 27,000–28,000 people per square mile, making it by far the most densely populated major city in the United States.
Chicago comes in at roughly 12,000 people per square mile, dense but far more spread out than New York.
Los Angeles, despite being the nation’s second-largest city by population, averages just 8,400–8,500 people per square mile.
This gap reflects development patterns. New York grew upward with dense apartment buildings and extensive transit. Los Angeles expanded outward with single-family neighborhoods and car-oriented planning.
Metro Areas Tell a Different Story
When the lens widens to include surrounding suburbs and commuter communities, the rankings shift:
Los Angeles Metro Area: ~7,000 people per square mile
New York Metro Area: ~5,300 people per square mile
Chicago Metro Area: ~3,500 people per square mile
This surprises many readers. While New York’s core is extremely dense, its metro region stretches across a vast, lower-density area spanning parts of New York, New Jersey, and Pennsylvania. Los Angeles, on the other hand, has a metro region that is more consistently built-up, with fewer truly rural gaps.
Why Density Feels Different in Each City
Population density doesn’t always match perception:
New York feels crowded because density is concentrated vertically and transit funnels millions into compact areas.
Los Angeles feels congested not because of extreme density, but because people are spread out and heavily reliant on cars.
Chicago balances both, with dense neighborhoods near the core and more traditional suburban sprawl outward.
Hollywood vs. Reality: How LA’s Wilshire Subway Was Really Built
Why This Matters
Density shapes:
Transportation planning
Housing affordability
Infrastructure costs
Environmental impact
For cities like Los Angeles—now reinvesting in rail, buses, and transit-oriented development—understanding density is critical. As coverage on LA Metro and urban revival continues, these numbers explain why transit challenges in Southern California differ so sharply from those in New York or Chicago.
The Big Picture
Most dense city: New York City
Most dense metro area: Los Angeles
Most balanced: Chicago
Density isn’t just about how many people live in a place—it’s about how they live, move, and interact with the city around them.
Further Reading: Population Density & Urban Development
- U.S. Census Bureau – Urban vs. Rural and Urbanized Area Density
- U.S. Census Bureau – Population and Density Data for U.S. Cities
- New Geography – Density Rankings of Major U.S. Urban Areas
- Brookings Institution – Urban and Metropolitan Policy Research
- Planetizen – What Population Density Means in Urban Planning
Dive into “The Knowledge,” where curiosity meets clarity. This playlist, in collaboration with STMDailyNews.com, is designed for viewers who value historical accuracy and insightful learning. Our short videos, ranging from 30 seconds to a minute and a half, make complex subjects easy to grasp in no time. Covering everything from historical events to contemporary processes and entertainment, “The Knowledge” bridges the past with the present. In a world where information is abundant yet often misused, our series aims to guide you through the noise, preserving vital knowledge and truths that shape our lives today. Perfect for curious minds eager to discover the ‘why’ and ‘how’ of everything around us. Subscribe and join in as we explore the facts that matter. https://stmdailynews.com/the-knowledge/
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