Gentrification is all about supply and demand rather than demographic structure. Investors play a big role in the production side of housing since they make choices on the number of houses the real estate has to invest in the production of residential condominiums. The supply-side focuses on the amount of housing and the demand side focus on the behavior of consumers based on what’s available to them for the community to become gentrified, which implies the bigger picture of gentrification on how it’s all viewed under the demand side of consumption.

 Gentrification reflects capitalism. The supply-side theories focus on the property owner and the demand-side arguments focus on both the owners and the gentrifiers which explain how the supply aspects introduced demand into the community in which gentrifiers are the causing demand and the supply to be given to the residents. 

The demand for housing creates a positive shift into the economic activity for production to services by high wage geographic areas to low wage areas.  Government reduces the public expense in major areas of abandonment while increasing them in areas of gentrification which is a good thing for the real estate as well as for the community because the government is helping them both. Gentrification causes tax revenue to increase which favors policy leaders that cause them to invest even more.

https://lissette.commons.gc.cuny.edu/wp-content/blogs.dir/14504/files/2020/12/research-paper-2-3.pdf