Initially repressed, the Peruvian government eventually decided upon their toleration, and by 1998, it was estimated that 2.5 million inhabitants of Lima lived in such types of settlements.
Squatting in Peru follows the trajectory of other Latin American cities, in that factors such as internal migration to urban areas, lack of affordable housing and ineffective governance have resulted in large informal settlements.
[2] From the 1940s onwards, groups of families made land invasions to acquire homes and were often evicted forcibly, until government policy gradually changed to toleration.
Most pueblos jóvenes are however assisted by the city authorities which try to provide infrastructure; others arise spontaneously as squats and a smaller proportion are built on land bought by cooperatives.
The United Front of the Peoples of Peru (FUPP, Frente Unitario de los Pueblos del Perú) represents inhabitants of informal settlements and has its headquarters at Villa El Salvador.
Squatters took advantage of the lessened security presence to move onto an archaeological investigation at Caral, an ancient city developed between 3,000 and 1,800 BC, which was made a UNESCO World Heritage Site in 2009.