This paper analyzes the spatial patterns of households' distribution in clusters of cities and the effects on regional growth using spatial exploratory techniques and a model of growth that incorporates spatial location. Our empirical analysis shows that, over the 1980–1990 period, in Southern New England, patterns of spatial clustering of households did create heterogeneous growth rates in the region. Also, there is evidence that clusters of cities and isolated cities created spillover growth effects in bordering towns.