DEFINITION of 'Slumburbs'
A slang term for the suburbs of once large and prosperous cities that have become less desirable due to an economic downturn. Slumburbs refer to the neighborhoods and small towns that cannot consistently attract highly educated and entrepreneurial people. As a result, business in these previously hopeful communities diminishes leading to such negative outcomes as unemployment and crime. Slumburbs can also refer to areas in otherwise wealthy cities that experience similar problems.
BREAKING DOWN 'Slumburbs'
In contrast to the poor neighborhoods found in California and New York, which are often referred to as "ghettos", slumburbs have regular real estate developments and required amenities such as parks and schools. At one point, these areas were prosperous and saw increased real estate deveolpment, but became too expensive for the potential or current owners. Due to a high level of foreclosure in such areas, families move away, leaving vacant homes that fall into disrepair. These types of communities usually arise during tough economic times.