We consider the theoretical and empirical implications of the structural basis of panethnicity and of the layering of ethnic boundaries in residential patterns while simultaneously evaluating the ‘panethnic hypothesis’, that is, the extent to which homogeneity within panethnic categories can be assumed. Our results do show a panethnic effect – greater residential proximity is evident within panethnic boundaries than between, net of ethnic group size and metropolitan area, but this association clearly depends on immigration. While findings generally show a lower degree of social distance between panethnic subgroups, particularly for blacks, whites and Latinos and less for Asians, ethno-national groups continue to maintain some degree of distinctiveness within a racialized context.