In the winter of 2006, the CRP department received visiting researcher Flavio Malta from Brazil. He presents us with an overview of one of the most challenging planning problems faced by Brazilian cities: the exploding housing demand for the poor and the conflicts that it generates. Through the case of São Sebastião municipality, in São Paulo, he discusses some of the issues he deals with in his job as a city planner: the control of illegal settlements and the production of low income housing in a city which depends on tourism development and is located in an environmentally protected coastal zone.