The purpose of this study is to explore the ways racial and socio-economic diversity potentially affect economic development in Columbia City, one of Seattle's most diverse neighborhoods. Case studies of diverse metropolitan neighborhoods have not considered the impacts of diversity on economic development directly, and quantitative studies regarding diversity and economic development have produced conflicting results. Therefore, this exploratory research will attempt to answer the question, how do neighborhood actors perceive the relationship between racial and socio-economic residential composition and economic development in a diverse, urban neighborhood? For this study, the author conducted 22 semi-structured interviews with neighborhood stakeholders including nonprofit leaders, government officials, business owners, and residents. The author used the interpretive approach to analyze the interviews. Results derived from the perspectives, accounts, experiences, opinions, and understanding of neighborhood informants suggest an important connection between diversity and economic development. / Master of Urban and Regional Planning