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In the face of rapid economic development, people increasing needs and changing lifestyles, most historic centers in the Arab world have experienced problems in making the necessary adaptation to the present needs and change. In the Casbah of Algiers, while the number of houses was reducing due to dereliction the density was rising and reached 4,000 persons/ha, making it one of the highest densities in the world. In addition, lack of services and poor sanitation has accelerated the dilapidation and decline of the Casbah, to become an urban slum in the heart of the capital Algiers. The Casbah of Algiers presents an urgent case for urban conservation. UNESCO inscribed it on the World Heritage list in December 1992, but since then there has been continuous disrepair, from 1,200 historic buildings in 1962 only 400 have remained and the number is still decreasing. The cultural heritage of the Casbah should be recognized as a valuable resource for future development. This paper attempts to propose an urgent integrated urban conservation action to rescue the Casbah from vanishing to become a sustainable living heritage.