© 2022, The Author(s), under exclusive license to Springer Nature Switzerland AG.The concept of a “designed neighborhood became widespread following the foundation of the young Turkish Republic, particularly in regard to the works of invited urban planners and architects from Germany focused on creating modern environments. Concurrent economic problems and the lack of building materials limited construction activity and raised the prices. Koşuyolu Neighborhood was planned as one of the pioneer examples of municipality’s initiatives in 1948 for constructing low-cost houses in order to meet the demand. Leading planners and architects of the period like Kemal Ahmet Aru, Rebii Gorbon, Seyfi Arkan, and Leyla Turgut were involved in the planning process between the years 1948–1956. Regarding contemporary preservation concepts, Koşuyolu Neighborhood is a heritage place as one of the first examples of its type and should have a legal conservation status Planning decisions and implementations within the site should consider its modern architectural heritage values. The paper will discuss the architectural and urban features of a “modern neighborhood” as well as its heritage values and preservation possibilities, in regard to challenging conditions of the site.