Gated communities are a phenomenon that has been occurring in many countries in order to create unique and safespaces through the spatial segregation and qualifications of the internal spaces of such communities.In Brazil, the most widespread form of gated community initially it was the object of desire of the upper classes but itnow has extended to lower social classes as well.In the last 10 years there has been a significant increase in acquisitive power of Brazilian lower classes, this parcel ofthe population is comprised of a lower middle class and today it accounts for 94,9 million people, being perceived byboth companies of urban development and purchasers.It contributed in 2007 for a boom in the housing market in Brazil, just before the beginning of the grand recession thataffected economies worldwide including Brazil. In order to counteract the impact of the crisis, the Braziliangovernment launched “My Home, My Life” aiming to build 1 million houses, facilitating access to credit.In regard to this context, this work seeks the causes and consequences of the current changes of Brazilian housingmarket. The main focus is given to a new generation of gated community projects in Brazil, built to attend the lowermiddle social class. The main case studied is a gated community called “New Land”. In Pelotas, a city in southernBrazil, three “New Land” communities are being built, and each one is comprised of approximately 500-700 houses.The architectural design of the proposed houses and/or flats and the urban design addressed to common areas are builtin series. In other words, this new model of gate community is designed in the same way for different parts of Brazilwithout taking into account the cultural and physical characteristics of each region, multiplying like a virus, so tospeak.This paper identifies and analyses three factors of this new housing model and the change of urban structure, as wellas its social and political implications: 1) The lack of commitment of the Federal and Local Authorities in Brazil,which allows this kind of development in suburban areas of cities; 2) the pursuit of higher profit and the lack ofknowledge and interest in urban design principles of the private companies responsible for the design of thesecommunities, and 3) The Brazilian issues concerning safety have high influence on people’s perception and choice forplaces to live, and the advertisement of these enterprises sells the idea of safe land detached from the frighteningcontext of the city.Thus, we are able to identify future problems: the segregation of the city, which comes from this process as well asproblems of management and maintenance of these segregated spaces. The quality of life in this enclosed housingestate of lower classes depends much more on its relation with the public services such as schools and health centersand its urban insertion, than the higher class housing, which does not depend on these services primarily.