How did industrialisation affect land use and residential patterns in cities of the nineteenth century? We use census data and GIS mapping techniques to analyse class segregation and changes to the spatial structure using the case of Uppsala, Sweden between 1880 and 1900. We find that there was a clear concentration of business activity in the central district and in proximity to the transportation hubs. Since these activities became more numerous but remained concentrated, they likely increased land values in the central areas of the city, inducing the lowest social classes to locate away from the centre. However, while these households were pushed out, it did not result in the type of class segregation we observe in many twentieth-century cities. Before the widespread use of transport technologies allowing populations to sprawl, city expansion in the type of middle-sized city that we study led instead to increased density and mixed uses in the central areas.