Economic Blight

DEFINITION of 'Economic Blight'

The visible and physical decline of a property, neighborhood or city due to a combination of economic downturns, residents and businesses leaving the area, and the cost of maintaining the quality of older structures. These factors tend to feed on themselves, with each one contributing to an increase in the occurrence of the others.

BREAKING DOWN 'Economic Blight'

Although many larger cities and rural manufacturing communities struggle with economic blight, the rapid rise of premium real estate prices over the last few decades led to renewed interest in these areas. Individual investors, as well as large developers, joined forces to successfully renovate and revitalize many areas struggling with economic blight, making a handsome profit along the way.

RELATED TERMS
  1. Visibility

    The extent to which future projections are probable. Visibility ...
  2. Economic Depreciation

    A measure of the decrease in value of an asset over a specific ...
  3. Slumburbs

    A slang term for the suburbs of once large and prosperous cities ...
  4. The City

    The main financial district of London, and one of the world's ...
  5. Property Rights

    Laws created by governments in regards to how individuals can ...
  6. Municipal Assistance Corporation ...

    A corporation created by the state of New York to aid New York ...
Related Articles
  1. Investing

    Why You Should Buy In Gentrifying Neighborhoods 

    Living in a gentrifying area has many benefits, not least of which is a property's investment potential.
  2. Budgeting

    How To Buy A House In Another City

    Finding an agent, doing your research, feeling out neighborhoods etc.
  3. Real Estate

    Top 10 Features of a Profitable Rental Property

    Looking to purchase a rental property? These are the factors that should be considered for income-producing real estate.
  4. Home & Auto

    Foreclosure Opens Doors For Real Estate Investors

    Learn how to spot hot properties that you can turn around for a profit.
  5. Entrepreneurship

    The Best City to Become An Entrepreneur Is What?!

    These four U.S. cities form a new landscape of cities that nurture the entrepreneurial spirit.
  6. Home & Auto

    5 Cities the Ultra-Rich Are Moving to

    Learn the top five cities worldwide that are attracting the most high-net-worth individuals, and discover factors that make a city appealing to the ultra-rich.
  7. Insurance

    10 Reasons Why Moving Might Not Make You Richer

    Find out why moving to a less expensive city may not reduce your expenses.
  8. Home & Auto

    Don't Let Foreclosed Homes Ruin Your Neighborhood

    Empty homes in your neighborhood aren't just eyesores - they can affect the value of your property.
  9. Home & Auto

    Living in China on $1,000 a Month

    Learn how you can live comfortably on a $1,000 monthly budget in China, a country known around the world for its growing economic power.
  10. Investing News

    ‘18-Hour Cities’: The Next Big Thing for Real Estate Investors

    The rise of the ‘18-hour city’ is the latest trend to hit real estate – with high growth potential for investors.
RELATED FAQS
  1. What criteria does a property need to meet to be considered an 'investment grade' ...

    Learn what it takes for institutional investors to consider a property "investment grade," such as real estate investment ... Read Answer >>
  2. What are some of the challenges in real estate development?

    Learn what real estate development is, what developers do, and how real estate development is hindered by both risks and ... Read Answer >>
  3. How does industrialization lead to urbanization?

    Discover the connection between industrialization and urbanization and learn how economic growth increases the demand for ... Read Answer >>
  4. For a company, is it more important to lower costs or increase revenue?

    Examine the question of whether a company's desire for increased profitability is better served by focusing on cutting costs ... Read Answer >>
  5. How can I make equity investments in real estate?

    Invest in real estate equity through buying and selling real property or through other more liquid investments like real ... Read Answer >>
  6. How do real estate agents market themselves?

    Find an agent by checking popular real estate circulars featuring desirable neighborhoods and call the agent to ask questions ... Read Answer >>
Hot Definitions
  1. MACD Technical Indicator

    Moving Average Convergence Divergence (or MACD) is a trend-following momentum indicator that shows the relationship between ...
  2. Over-The-Counter - OTC

    Over-The-Counter (or OTC) is a security traded in some context other than on a formal exchange such as the NYSE, TSX, AMEX, ...
  3. Quarter - Q1, Q2, Q3, Q4

    A three-month period on a financial calendar that acts as a basis for the reporting of earnings and the paying of dividends.
  4. Weighted Average Cost Of Capital - WACC

    Weighted average cost of capital (WACC) is a calculation of a firm's cost of capital in which each category of capital is ...
  5. Basis Point (BPS)

    A unit that is equal to 1/100th of 1%, and is used to denote the change in a financial instrument. The basis point is commonly ...
  6. Sharing Economy

    An economic model in which individuals are able to borrow or rent assets owned by someone else.
Trading Center