Urban regeneration refers to necessary，scheduled and tactical reconstruction of the areas that fail to meet modern urban social life. As the reorientation of urban functions，it aims at fostering new urban functions. In the urban regeneration process，protection and reconstruction of traditional urban scenes highlight integration of modern urban functions. As a core area of the capital，Xicheng District is endowed with marvellous historic urban features and strong charms of traditional culture，which imply a unique taste of the history. However，it remains an urgent research topic as to how to achieve seamless connection between“historic traditions” and“modern life”. Guang'anmennei Sub-district plans to initiate its block treatment in the core area，namely，systematically improving and revitalizing the blocks within 3 years to make them samples of urban regeneration in the core functional areas of the capital. With Guang'anmennei Sub-district as a study case，this article reveals its efforts for integrating traditional features with modern functions and presents some references in this regard based on proven domestic and foreign practices so as to expand the horizon for overall development of the core area of the capital.