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This sort of thing exists in form at least in places like Cul De Sac, but they're also paired with bikable, and transit-friendly neighborhoods... The type of thing that I'm guessing most of the people on this thread tend to vote against.
I’m actually working on a family constitution right now, and part of a tight four generation clan. And most of the people in my circles are doing something similar. A few thoughts: It’s VERY hard to make this happen without it being strictly family. I’ve seen it fail in real time multiple times. In my constitution there is a clause that if an outsider wants to join the family he must change his last name. Obviously the pictures are ai. But I wouldn’t recommend living that close even with family. Everyone is going to have slightly different parenting styles, and if the cousins are hanging out together 24/7 that can cause tension, and they have a harder time focusing enough to do some school work. Walking distance is great, but not within eyesight imo.
I grew up in a setting with substantial resemblance to this. Colony in South America where the majority of the people were my cousins. Elements of Amish mixed in with a community setting. Hierarchy was largely determined by participation in the church. The intersection of religion and community governance were major factors in constantly changing tensions in the community. I know Amish here in the US who have some of these values. Sexual abuse is prevalent in these communities and is easily hidden so that's probably what I would fear the most in a community like this. I think shared values and a constitution for the community is more important than it being family. There needs to be a predetermined and well documented exit plan as people will at some point want to leave. Note that religion draws people together but often pushes them apart. Overall my perspective is this would be fantastic if done well. Individual property rights still need to be protected. AI would be extremely helpful in thinking of scenarios that should be documented in the constitution.