it sounds like that'd work where you're from, probably because it's a tiny town. you can probably walk to restaurants, coffee shops, grocery stores and pharmacies, right? so you mostly need transit for commuting to the city, which is cake.
the suburbs are hell. everything's far. walking is dangerous and unpleasant. the city's sprawled, so everyone commutes to a diffuse cloud of points between the cities.
I hate living in the suburbs because I'm a wheelchair user, and walkable places are safer and more accessible. so I like your idea, I just think the burbs are beyond saving.