Urban regeneration policy and projects could facilitate the implementation of spatial policy responses to mitigate climate change and adapt to its consequences in cities. However, the potential role of urban regeneration in creating climate-friendly urban environments is not sufficiently evaluated and understood. Considering this gap, the paper aims to explore the potential linkage between urban regeneration and climate change. The case study analysis focuses on two urban regeneration projects, representing two major approaches of regeneration practices in Japanese cities, namely “project-based” and “plan-based” approaches. Research findings demonstrate that urban regeneration could help in reorganising existing urban areas in a climate-friendly manner. As a cross-cutting field of urban policy, urban regeneration could also help in creating synergies between mitigation and adaptation goals. Yet, achievement of such outcomes via regeneration projects necessitates the existence of an overriding urban development vision, political commitment, and willingness to implement binding and structural measures.