Since Quito was designated as the first city, along with Krakow, on UNESCO’s World Heritage list in 1978, over two hundred cities have undergone processes of heritage-making globally. The perception of Quito’s historic center as a monument is rooted in its early aspiration to serve as a Spanish architectural model in the Americas and is often regarded as one of the best-preserved historic centers in Latin America. Together, these factors have contributed to Quito’s portrayal as an idealized heritage city. However, this image is a construct of the twentieth century, reflecting a historical divide between the monumental spectacle of the site and the everyday lives of its inhabitants. Adopting an anthropological perspective reveals how heritage policies shape dwelling practices and how local communities negotiate and resist hegemonic and universal heritage discourses. This article explores the key debates surrounding urban regeneration and revitalization within Quito’s historic center, assessing the consequences of these interventions and concluding with reflections on the nuances of inhabiting heritage sites during times of crisis.