In Nashville’s booming real estate market, prosperity and homelessness collide. As luxury apartments rise, many residents face a harsh reality on the streets. The city’s economic growth is leaving an increasing number of people behind.
Apartment Market Boom
In downtown Nashville, giant signs proclaim luxury living and immediate availability. The city’s rapid growth as a Southern boomtown keeps the apartment market sizzling.
Prosperity’s Dark Side
New condo towers rise quickly to meet the demand of newcomers, but this boom also pushes many onto the streets. The surge in prosperity leaves some residents behind, struggling to find affordable housing.
Unexpected Homelessness
Homelessness now affects not just the traditional poor but also those who were once financially secure. The vibrant city sees even the recently affluent slipping into homelessness.
From Six Figures to Homeless
Patrick James, a decorated veteran, earned $150,000 annually just three years ago. Now, he’s living in a broken-down Chevy Suburban after losing his home in a divorce.
Struggling Despite Service
Despite his Army pension, James can’t afford the soaring apartment rents. His military service, including multiple tours in Iraq, hasn’t shielded him from Nashville’s housing crisis.
Population Boom
Nashville’s population surged by 86 people a day in 2023, reaching 2.1 million. The influx is driven by big businesses like Amazon and AllianceBernstein setting up major operations in the city.
Skyrocketing Rents
A one-bedroom apartment far from downtown now costs around $1,400. In trendy neighborhoods like The Gulch, a studio starts at $1,500 a month, while two-bedrooms begin at $2,485.
Growing Inequality
James observes that Nashville’s real estate boom is widening the gap between rich and poor. The focus on tourism and luxury apartments leaves many residents unable to afford housing.
Unattainable Housing
James finds the city’s rental requirements unattainable, needing three times the rent to get approved. This led him to buy an old truck to live in and a car to get around.
Makeshift Homes
James parks his Mercedes with a Purple Heart license plate next to his Suburban in Old Tent City. This area by the Cumberland River hosts derelict RVs and makeshift sheds, housing around 130 people.
A Veteran’s Struggle
James, a five-times decorated veteran, was shot in the neck during his service in Iraq. He lived in the metro area with his ex-wife before ending up in Nashville’s homeless community.
Battle Scars and a New Fight
Former infantry sergeant Patrick James, 39, served multiple tours in Iraq from 2005 to 2008. A bullet wound in 2008 left him with two strokes and a year-long recovery at Walter Reed Military Medical Center.
From Recovery to Financial Ruin
After his recovery, James pursued a law degree but ended up managing a store, earning $150,000 annually. A costly divorce stripped him of his home and job, leading to unsustainable hotel stays funded by loans.
Bouncing Back
James is determined to rebuild his life and has enrolled in a criminal justice program at Strayer University. He hopes to work in probation, using his experiences to aid others.
A Fellow Struggler
Robert Sutton, a 40-year-old former auto mechanic, has been waiting four years for affordable housing. Despite making ends meet through odd jobs, he remains on a Salvation Army waiting list, longing for a stable home.
Rising Costs and Broken Dreams
Nashville’s Fair Market Rent ranks higher than 94% of the U.S., with a two-bedroom home costing $1,253 a month, a 4.68% increase from the previous year. However, many potential renters find these figures misleading as affordability declines.
Growing Inequality
A 2023 report highlighted how Nashville’s economic growth has worsened the gap between rich and poor. While some have prospered, many residents struggle to afford housing, as poverty rates remain high.
Overwhelmed by Development
Outside the Greyhound Bus station, James Weaver reflects on his situation amid new apartment blocks and construction sites. The rapid development underscores the city’s growing divide and the challenges faced by many residents.
Narrow Miss
James Weaver came close to securing an apartment, scraping together $1,200 for the first month’s rent and a deposit. At the last moment, the landlord raised the rent to $1,400, making it unaffordable for him. Even if Weaver could stretch to the higher rent, the landlord intended to make it a shared living situation. Disheartened but undeterred, Weaver continued to live on the streets, coping with constant theft and instability.
Daily Struggles
Weaver keeps all his possessions in a small green bag, constantly at risk of theft. Despite working construction jobs, he finds it tough to secure stable housing in an increasingly expensive city.
Seeking Stability
Weaver dreams of finding truly affordable housing, adjusted to his income level. He criticizes the concept of affordable housing in Nashville as a cruel joke amid skyrocketing rents. Weaver has witnessed Nashville’s rapid growth firsthand, with cranes dominating the skyline. Losing his apartment 18 months ago, he sees no hope of affording the new high-priced rentals.
Economic Boom and Housing Crisis
Nashville’s boom, driven by lower taxes, has attracted numerous companies and individuals from high-tax states. This influx has sent real estate prices soaring, exacerbating the housing crisis.
Corporate Migration
Tech company Thnk relocated to Nashville from New York in 2020, lured by favorable tax rates and lower costs. The city’s business-friendly environment has become a magnet for tech firms and start-ups.
Homelessness Statistics
A recent count by Nashville’s Office of Homeless Services reported 2,094 homeless people in January. This includes 725 unsheltered individuals, highlighting a 23 percent increase from the previous year.
Veteran Homelessness
Among the homeless population, 12 percent are veterans. Despite a slight decrease in overall numbers, the plight of unsheltered individuals continues to grow, underscoring the ongoing housing crisis.
