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There many cities of various sizes that have areas where this could be found. So, it may be a matter of other aspects, the degree of the funkiness and city size.
I'm sorry but I couldn't help but laugh at the title of this thread because the first thing that popped into my mind when I saw the title was extremely smelly cities, lol!
Your best bet are college towns. Austin probably comes first and foremost, but Berkeley, Boulder, Iowa City, and Missoula MT (yes, really) are up there too. I guess you could throw Madison into the mix, but while liberal, still seems a tad more "clean-cut" than the others.
West Hollywood, 40 years ago. The Lower East Side, 30 years ago. The Lower Height, 20 years ago.
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