Of the neighborhood characteristics examined, neighborhood socioeconomic disadvantage was the most important correlate of adolescent violence. This finding indicates the importance of having socioeconomic resources in the neighborhood in order to shape adolescent behavior and outcomes. The study found evidence that neighborhood disadvantage and residential instability were associated with an increased likelihood of exposure to violent peers; whereas, neighborhood disadvantage and immigrant concentration were associated with a reduction in the likelihood of exposure to academically motivated peers. These findings support the hypothesis that neighborhood structural characteristics increase opportunities for youth to associate with particular types of peers. The study used data from the National Longitudinal Study of Adolescent Health, a nationally representative sample of adolescents in grades 7-12. Data were collected between 1994 and 1996. The dependent variable was serious violence, which was based on adolescents' reports of any involvement in a range of serious violent behaviors. The following neighborhood characteristics were determined by using 1990 U.S. Census data: socioeconomic disadvantage, residential instability, immigrant concentration, and population size. Peer violence was calculated as the average response of all friends in each adolescent's network to a question about their involvement in physical fights. Exposure to prosocial friends was measured by the academic achievement and future educational expectations of friends. 2 tables and 111 references