Given the growing importance of deteriorated urban fabrics in development planning, along with the rapid population growth of Gorgan city that has led to its physical expansion, the present study aims to analyze the factors influencing citizen participation in the regeneration process of the Ozinneh neighborhood, with an emphasis on improving the quality of the living environment. This research is applied in nature and designed using a descriptive-analytical method. Data were collected through field surveys and questionnaires distributed among 200 residents of the neighborhood, selected using Cochran’s formula and a random sampling method. The gathered data were analyzed using SPSS software and the SWOT strategic model. According to the findings, the Ozinneh neighborhood—originally a peripheral village of Gorgan—has transformed due to factors such as low housing costs, affordable rent, and weak construction oversight, making it a destination for migrants from other areas. The uncontrolled expansion and lack of coherent planning in the past have led to challenges regarding quality of life and urban infrastructure within the neighborhood. Therefore, attention to residents’ perspectives and genuine community participation is crucial to ensuring the sustainability and effectiveness of regeneration initiatives. Hypothesis testing results indicate that variables such as cultural, social, and economic empowerment of residents, willingness to participate, access to services and transportation, level of trust in urban management, and satisfaction with local authorities' performance play key roles in enhancing public participation in the regeneration of deteriorated settlements in the area. These findings can serve as valuable guidance for policymakers aiming to improve urban intervention strategies in similar contexts.