Houston was incorporated in 1837 under the ward system of representation. The ward designation is the progenitor of the eleven current-day geographically oriented Houston City Council districts. Locations in Houston are generally classified as either being inside or outside the Interstate 610 Loop. The inside encompasses the central business district and many residential neighborhoods that predate World War II. More recently, high-density residential areas have been developed within the loop. The city's outlying areas, suburbs and enclaves are located outside of the loop. Beltway 8 encircles the city another 5 miles (8.0 km) farther out.