Many historic centers in Latin America have been the focus of government and private initiatives seeking to rehabilitate the building stock and position the areas to serve the tourism industry. In most cases these efforts have led to the displacement of lowincome residents or of residential activities altogether, due to gentrification and commercialization of the district. This article seeks to advance this discussion based on the experience in Panama City’s historic center, “Casco Antiguo.” It describes some recent, innovative policies that have explored the intersections of tourism, affordable housing, employment, and culture in a historical context, and draws some general insights and lessons.