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    "original_url": "https:\/\/www.nytimes.com\/2026\/02\/12\/business\/economy\/america-new-cities-irvine.html?campaign_id=9&emc=edit_nn_20260212&instance_id=170981&nl=the-morning&regi_id=122976029&segment_id=215164&user_id=b25c5730c89e0c73f75709d8f1254337",
    "parsed_content": "A popular knock on Orange County, Calif., is that it is a mass of indistinguishable neighborhoods designed for the efficient placement of tract homes. But a few miles down the highway from Disneyland, smack in center of the county, lies a subtle refutation of sprawl-style growth.The city is Irvine, population 300,000 or so. On the surface it looks like a typical American suburb with curlicue streets and shopping centers abundant in parking. What makes Irvine unique is that unlike most of its neighbors, it also has a dense base of employment that includes a university, manufacturing and high-rise office buildings \u2014 in other words, it is a true city.This happened fast, and not organically. Almost all of Irvine was built by a single entity, the Irvine Company, which for most of its 160-year history was a grain and citrus farming operation. The company started developing this farmland during California\u2019s post-World War II boom, and in the late 1970s was taken over by a group of investors that included Donald Bren. (Bren, 93, is now the sole owner and one of the country\u2019s richest people, thanks to Irvine\u2019s growth.)The company planned most of Irvine\u2019s parks, streets and structures, and it continues to own a majority of the city\u2019s apartments, shopping centers and offices \u2014 even a local newspaper. Almost no place in America is more completely a company town.ImageA single company planned most of Irvine\u2019s parks, streets and structures. Credit...Matt Gush\/Shutterstock.As the country grapples with a housing shortage, Irvine\u2019s model has gained a new appeal. What more efficient way to produce homes and expand businesses than building new urban areas on vacant land without the complexities of an existing city?Enticed by the potential profits and eager to have more control over their footprint, investors and businesses are backing new town and city concepts that, like Irvine, are guided by a private hand. Some of the plans are dead serious, others fanciful. Perhaps not surprisingly, their most enthusiastic proponents tend to be technology billionaires.Take, for instance, Starbase, Texas, a newly incorporated city that has clusters of employee housing built around manufacturing and launch facilities owned by SpaceX, Elon Musk\u2019s rocket company. Starbase, which encompasses about 1.5 square miles near the Mexican border, is one of several attempts to use Texas\u2019 abundant land and loose development laws to seed start-up communities with names like Proto-Town and Austantinople.Back in California, a group of Silicon Valley moguls are pursuing something much grander: a proposal to build a city of 400,000 people on top of rolling hills an hour north of San Francisco (at the moment those hills are occupied by sheep farms and wind turbines). California Forever, the company behind the project, has spent about $1 billion acquiring 70,000 acres of farmland and put forth a plan to build a walkable community with nearby manufacturing and shipbuilding facilities.There is, of course, a big difference between declaring an intent to build a whole city and doing it. In 2021, Marc Lore, the billionaire founder of the shopping portal Jet.com, announced Telosa, which is imagined as a desert city of five million people. Lore\u2019s aim is to upend the economics of land use: A foundation would manage development and lease land to residents and businesses (who would own the buildings).Telosa has a small team of employees and consultants, and a website with animations of elevated trams cruising past pedestrian-friendly streets. It has also yet to acquire land, so, for now, is more utopian dream than real-life destination.These efforts might seem kooky if the drive for new cities wasn\u2019t also getting purchase from influential policy minds. The economists Paul M. Romer, a Nobel laureate and professor at Boston College, and Edward L. Glaeser of Harvard have boosted the new city concept in the United States and abroad. At the same time, urbanists are organizing pop-up villages and designing car-lite and even car-free neighborhoods.About a year after the California Forever project was revealed, Devon Zuegel, a software engineer, announced a proposal for a new neighborhood in the Sonoma County city of Cloverdale. The project is called Esmeralda.Esmeralda, which borrows heavily from the new urbanist movement, is slated for a site where the city had earlier approved a golf course neighborhood dotted with large, single-family homes and ample yards. Zuegel\u2019s hope is to execute a kind of planning U-turn. Esmeralda\u2019s ambition is to build 605 higher-density homes with front porches and bike-friendly streets all linked to shops, offices and hotel rooms by walkways and a community plaza.Even the biggest of these projects is tiny compared with new city ideas in the rest of the world. There is nothing to match the scale and hubris of, say, Neom, the $500 billion city that Saudi Arabia hopes will diversify its oil-dependent economy, or the dozens of new cities in Asia whose stock of empty buildings makes them seem both impressive and like a good way to go broke.During his 2024 campaign, President Trump announced his intent to create \u201cFreedom Cities\u201d that would be constructed on federal land and \u201creignite American imagination\u201d by embracing innovations like flying vehicles that take off and land vertically. But as president, he has not offered much of a blueprint, and has instead mostly pushed ideas to allow prospective home buyers to take on more debt.However it happens, America needs more housing. Economists estimate the current shortage at somewhere between four million and seven million units, which would take several decades to build at the current pace of construction. The easiest way to boost those numbers is to build more housing on the urban edge, where land and construction are less expensive. The unifying thesis of projects like California Forever and Esmeralda is to use the logic of sprawl-style growth \u2014 build on undeveloped land outside city centers \u2014 to create neighborhoods that aim to minimize the use of cars.\u201cWhen I look around America and I see what\u2019s being built, I have a hard time finding places I want to live,\u201d said Zuegel, the chief executive of Esmeralda. \u201cI\u2019m not thrilled about the idea of raising kids in a city like San Francisco, where it would be hard to have independence at a young age. At the same time, I don\u2019t want to live in a car-centric suburb where you can\u2019t walk to a store.\u201dOpen land represents the future in its purest form \u2014 after all, every place was no place at some point. The quest for resources, escaping bondage or seeking places to worship freely have all motivated new settlements and fresh modes of living. Buildings, sure, but also a chance to improve society in a place where the future looms larger than the past.\u201cWe are trying to create a place that will someday have all the messiness and complexity that real cities have,\u201d said Gabriel Metcalf, the head of planning for California Forever. \u201cThe word \u2018city\u2019 is an expression of that ambition.\u201dBut every idea needs a model. And in the United States, it\u2019s hard to find a more successful one than Irvine.A City Built From ScratchThe weekday drive from Los Angeles to Orange County is choked with traffic and rimmed by strip malls. On a recent morning, I made the slog to meet Michael Stockstill, a former employee of the Irvine Company and co-author (with H. Pike Oliver) of \u201cTransforming the Irvine Ranch,\u201d the definitive history of Irvine and its post-World War II transformation.Over the next few hours, Stockstill drove me around while narrating the city\u2019s history. Calling my attention to the absence of billboards and power lines (they are underground), and to the presence of a thick canopy of trees, he was in essence pointing to the benefits of corporate planning.In 1960, when what is now Irvine was mostly farms, the sprawl of Los Angeles was seeping southward into Orange County, Stockstill said. Most of the region\u2019s landowners sold off their land piecemeal \u2014 a couple of hundred acres here, a couple of hundred acres there. Builders then proceeded to throw up tight rows of one-story homes with minimal landscaping and nothing but a token sidewalk separating them from the street.Irvine would get filled with homes eventually \u2014 the pressures of growth had fated it. But because the ranch\u2019s 100,000 or so acres had been held by the same family for a century, it had the power to decide how it happened.ImageA 1975 advertisement in the Los Angeles Times promotes developments by the Irvine Company.Credit...AlamyEarly ads in newspapers touted \u201cinnovative planning\u201d where \u201ceverything seems to fit together.\u201d Stockstill relayed an anecdote about how Irvine\u2019s lead architect and designer would show employees photographs of Los Angeles\u2019s San Fernando Valley, point to features like gaudy billboards and cinder block sound walls, and say, \u201cIt\u2019s not going to look like this.\u201dIrvine was part of a new town movement of the 1960s and 1970s, which included the cities of Reston, Va., and Columbia, Md., both outside Washington, as well as The Woodlands, Texas, near Houston. Demand for housing was exploding as members of the baby boom generation moved into their home-buying years. Cookie-cutter subdivisions sprouted to meet the demand, but they were so uniform and ugly that planners and developers began seeking alternatives.Most of the new town developments were lovingly landscaped with curved streets and trees and amenities like parks and pools. They also tried to create a degree of self-sufficiency by mixing commercial and residential development.To jump-start its economy, Irvine donated 1,000 acres for a new University of California campus. Then it built housing for the university and other employers, creating a flywheel that attracted more businesses, more employees, more housing and so on.\u201cHaving housing for all segments of your work force is attractive to bigger companies,\u201d said Ann Forsyth, a professor of urban planning at Harvard and co-director of the school\u2019s New Towns Initiative.A developer who stays involved with a project has a greater stake in maintaining schools and public safety \u2014 which raise real estate values and attract more residents \u2014 than the typical developer, who builds a project and moves on. And the possibility to make money over decades instead of all at once is an incentive to think more holistically about what neighborhoods should look like, rather than bowing to the concerns of individual buyers.Irvine is frequently described as a wealthy suburb, and its per capita income far outranks any other large city in the county. But contrary to the suburban stereotype, its neighborhoods are layered with a diversity of single-family homes and multiunit buildings. By building homes and apartments near each other from the outset, the Irvine Company was able to avoid, or at least tamp down, the not-in-my-backyard objections that arise anytime existing residents are asked to accept a larger building, Stockstill said.Concentrated power does, of course, have problems. The Irvine Company owns so much of the city\u2019s apartment stock that tenants have accused it of being a monopoly that keeps prices artificially high. During Irvine\u2019s first City Council meeting in 1972, a clerk accidentally referred to it as a gathering of \u201cthe city of the Irvine Company,\u201d according to Stockstill\u2019s book. Several decades later, the company\u2019s influence over local politics remains vast.Despite its planning successes, Irvine remains every bit as car-centric as the sprawl its creators wanted to get away from. My tour of the city included no saunter down a main street. We walked across a parking lot to an In-N-Out Burger for lunch, but not much more.\u201cThe car won, that\u2019s the story of Southern California,\u201d Stockstill said.A Great Idea That\u2019s Hard to Pull OffWhile Irvine thrived, the movement it was a part of did not. Since 1960 there have been several dozen attempts to create new town communities, most of which have failed to attract more than a few thousand residents. In 1970, when Congress passed the Urban Growth and New Community Development Act, it included a program to give loan guarantees to developers who built \u201cnew towns\u201d that were economically diverse and contained a mix of jobs as well as housing.But that program was shut down in 1983 after funding 13 new communities \u2014 almost all of which were financial failures. The exception was The Woodlands.ImageA 1973 model for The Woodlands, outside Houston. The Woodlands was one of 13 \u201cnew towns\u201d backed with federal money to create economically diverse cities.Credit...Bela Ugrin\/Houston Chronicle, via Getty Images\u201cThe idea that you can conceive of a city that addresses all the ills of the current city is philosophically a wonderful goal,\u201d said Richard Peiser, a professor of real estate development at Harvard who co-directs the New Towns Initiative with Forsyth. \u201cI\u2019ve spent a lifetime trying to understand why most new towns are not very good.\u201dEvery development is risky. A whole city is extraordinarily so.To make undeveloped land livable, a developer first has to shoulder the expense of securing and building a water supply, not to mention power lines, sewer pipes and other infrastructure \u2014 a project that takes many years and consumes potentially billions of losses before the first home is built. The more daunting hurdle is attracting enough jobs to create an economic base, since people want to live within a reasonable distance of their work.\u201cPeople come to a new city because of the people who are there, not because of infrastructure,\u201d said Alain Bertaud, a senior researcher at New York University who spent much of his career advising the creation of new cities for the World Bank.That, Bertaud said, is why America\u2019s most successful new cities in the postwar era are on the edge of bustling places where outward growth was already underway. There is no Reston without Washington, no Woodlands without Houston and no Irvine without Los Angeles.Each of them relied on finding just the right parcel in just the right place at just the right moment. And even then it\u2019s more alchemy than science: The staying power of old cities isn\u2019t that they\u2019re perfect or easy to live in, but that they have an intellectual and cultural heft that is impossible to replicate.New ideas have to come from somewhere, though, and a blank slate is a stark way to showcase them. Their true power isn\u2019t in finding the perfect expression \u2014 it\u2019s in the ways they get copied.From that angle, Irvine is much more than a midsize city in the orbit of Los Angeles. Its Mediterranean-style architecture has been cloned all across the United States. And many of its planning ideas \u2014 like targeting a range of residents, from college graduates seeking first apartments to empty nesters downsizing \u2014 are so baked into the suburban landscape that newer generations of developers consider them the standard.Randall Lewis, a principal at the Lewis Group of Companies, a developer of master-planned communities in California and Nevada, said he visited Irvine a minimum of three times a year to get ideas. \u201cIt\u2019s the No. 1 source by far,\u201d he said.Developers can be a conservative bunch, because their projects are literally set in stone (and wood and bricks and asphalt). Once a new concept is proven, the industry looks to replicate it across the country \u2014 cookie cutter, you might say. It makes sense financially but leaves minimal oxygen for new concepts and creates a logic in which suburbs look like suburbs because that\u2019s how suburbs are built.In the United States, where real estate is ultimately about profit and loss, the best way to bend the paradigm is to prove something different can be lucrative. But first you have to build it.Conor Dougherty covers housing and development, focusing on the rising costs of homeownership. He is based in Los Angeles.Read 168 commentsShare full articleRelated ContentAdvertisementSKIP ADVERTISEMENT",
    "ai_headline": "America\u2019s New Cities: Can Irvine\u2019s Model Be Replicated?",
    "ai_simplified_title": "Developers Explore New Cities Model in America Housing Crisis",
    "ai_excerpt": "The article examines the Irvine model of planned cities and its potential for addressing the housing shortage in America. It explores new city projects and the challenges of replicating Irvine's success, highlighting the role of private developers and the importance of economic viability.",
    "ai_subject_tags": [
        "Urban Planning",
        "Real Estate Development",
        "Housing Crisis",
        "Irvine",
        "New Cities",
        "Sprawl",
        "Development",
        "Economics"
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    "ai_context_type": "Analysis",
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