Success in school is a vital developmental outcome for children. In recent decades, it has been shown that school outcomes are influenced by a variety of environments and social processes in the lives of children, both within and across the central microsystems of family, school, and neighborhood. The current study used a multilevel analytic strategy and three data sources--a community survey, the 2000 census, and citywide school achievement data--to examine the association between neighborhood social capital and physical conditions with academic achievement. The sample comprised predominantly African American children in first through eighth grades in a midsized Midwest industrial city. Results revealed that increased levels of neighborhood bonding social capital and lower levels of poor physical conditions were predictive of higher student scores on achievement tests in math and reading. In addition, as children progressed from the first through the eight grades, the magnitude of the effect of bonding social capital and poor neighborhood physical conditions on school achievement increased.