The paper examines the role of housing in recent urban regeneration policies and the question of whether this involves a process of gentrification. Using examples from Tyneside, it notes the emphasis on riverside and city centre locations away from established residential areas, and on high-cost housing for sale. It is suggested, though, that this is not gentrification in the most direct sense, in that it does not displace or reduce housing opportunities for low-income residents. Evaluation must take account of non-housing issues, such as the employment effects and the political and ideological implications of these housing policies.