Traditional quarters have been continuously influenced by the constant change of their surrounding environment. The research concludes to policy makers and planners that... A growing number of regeneration initiatives have only focused on deprived historical cities, ignoring traditional quarters in rural towns suffering also from decay; from being a valuable part of the development. It uses the theory of urban regeneration, addresses other concepts and concentrates on assessment of the planning process, analysis of the impacts of the regeneration initiative and the roles of different actors. This research is dominated by a qualitative approach and exploratory nature and incorporates the quantitative method. This research assesses a regeneration initiative of a whole traditional quarter (Birzeit) and how far intervention strategies for its urban regeneration provide sustainable responses to the historical environment, social and economic aspects as well as the community’s needs.