Against the backdrop of China's urban development shifting from incremental expansion to stock-based urban regeneration, historic and cultural districts—as vital spaces that embody urban memory and everyday life—face new challenges regarding their conservation and development. Amidst rapid urbanization, issues such as the erosion of traditional spatial fabric, functional imbalances, declining quality of the living environment, and the waning vitality of communities have become increasingly prominent. Existing models, which focus on historical and cultural conservation or small-scale regeneration, struggle to meet the comprehensive demands of contemporary urban development. How to preserve historical value whilst enhancing heritage value and improving quality of life has become a key issue in current research on urban heritage conservation.