In the framework of my phD on Heritage-based Urban Development i am looking for literature that is analyzing or critizinging the place-based approach of urban rehabilitation. Any suggestion is welcome!
My understanding is that almost all urban rehabilitations target particular areas. In this sense, they might all be placed-based approaches. I don't know if there is any people-based urban rehabilitation approach unless it targets the whole city. So, you may need to refine your question, I think. Hope this might be helpful to you.
I did my PhD on urban design and tourism in the tropics which required a critical analysis. A key point in this was the need for context analysis in terms of place, polity and power as described by Carmona (2014) but echoed by a whole bunch of work in tourism by Hall (2003). I wrote an article in the Journal of Urban Design last year about critically engaging with Carmona's model of urban design for the tropics. Also the sense of place and place attachment stuff can be quite critical, Lewicka (2011) did a good review and mentioned Scannell and Gifford's (2010) work. And Peck & Theodore's stuff on mobilising urban policy across places considers the power relationships between cities offering and receiving urban expertise. You might already have all of these and it's not exactly on your topic but it probably relates to it and may be of help.
Here is the issue in a nutshell: negative externalities. If one is trying to rehabilitate an area which is surrounded by sources of negative externalities (e.g., noise, crime, whatever), it is useful to think about devices to insulate the area from these sources. Often it can be done by the strategic placement of public capital: a road, a hospital complex, a parking lot, etc. Sometimes a berm can be used. Limited vehicular access is another device. That is, it is not necessary for the public sector to do the rehabilitation itself. Instead, it is useful to create an environment in which rehabilitation can proceed in the private sector.
The bottom line is that it is not so much the quantity of public investments but the spatial configuration of investments that is important.
You might be interested in this article by Mark Ingram on the case of Marseille: "Emplacement and the politics of heritage in low-income neighbourhoods of Marseille"