In the late twentieth century, the housing stock of Porto showed signs of social and urban imbalance. This characteristic is mostly due to the successive construction of large suburbs since the second half of the twentieth century, related to the ‘Piano de Melhoramentos’ (Plan of Improvements). These barrios concentrated thousands of families, economically disadvantaged, through a high concern for the amount of dwellings and a tiny concern for the environmental quality of these residential areas. Nevertheless, most of these large housing estates barrios were absorbed by the expansion of the city and, as a result, there was a significant improvement of access net, transports and service network, minimizing the isolation of these neighborhoods. In the nineties, social and economic problems of these populations were sharpened. Such problems are also related to the stigmatization phenomenon, compounded by a . generalized process of degradation of the public space and built space, which results from the lack of conservation and rehabilitation programs. The Municipality of Porto starts in 2004, together with the ‘Institute National da Habitagao’ (INH) a program for the rehabilitation of 5000 dwellings in municipal social housing and for the construction of 300 new dwellings under controlled costs. The article presents the study we have been developing concerning the best procedures that professionals and politicians should have when facing the renewal of the social housing barrios. These operations are very important for the social and urban balance, since about 20% of local people live in municipal dwellings. This financial effort aimed at the rehabilitation of the residential park underlines the policies of strengthening the social cohesion. Social actions at an educational, training, employment and social assistance levels should complement this effort. To illustrate this study we will present de ex- Ante and post analytic scenarios of the ‘Bairro de Contumil, in Porto.