Planners have often mistakenly assumed that we could solve social problems through good community design. In a discipline committed to trying to produce better places, the temptation to believe in the efficacy of good design hasproven unrelenting. This paper contrasts contemporary community design theory; which draws extensively on the principles and values of new urbanism; with development practice. While the theory that animates the profession promotes a vibrant and engaging public realm, a large proportion of new development involves privatized and segregated landscapes. Whether developers are building new urbanism communities or gated enclaves, they generally fail to deliver affordability, diversity, democracy, or sustainability. Planning for the good community requires more than building beautiful and compact places: it demands attention to complex issues of social equity, spatial segregation, and environmental responsibility.