Urban areas face increasing challenges in adapting to the impacts of climate change, particularly concerning heat impacts. Densely populated areas are especially affected by the adverse consequences of extreme heat, which highlights the urgent need for local heat adaptation practices.

This article evaluates the "CoolCo's—Cooling Corners and Corridors" project in Józsefváros, Budapest, as a case study in urban heat adaptation through co-design. Guided by the principles of the New European Bauhaus (NEB), the project aims to address urban heat impacts through integrating the three NEB pillars of sustainability, beauty and inclusivity in its implementation. Utilizing a participatory co-design process, the initiative integrates modular urban furniture, greenery, and information panels to provide a small-scale solution for adapting the public space to heat. The impact of the project is evaluated along the lines of the NEB using a multi-criteria assessment.

The assessment identifies challenges in aligning innovative, small-scale solutions with existing municipal frameworks and stresses the need for ongoing community involvement and management strategies to ensure the long-term sustainability of the interventions. Ultimately, CoolCo's demonstrates the potential of locally-driven initiatives to catalyze transformative change in urban landscapes, while also revealing gaps in the NEB's focus on bottom-up adaptation strategies. This study contributes to the discourse on climate change resilience and urban transformation by advocating for a more inclusive and adaptable approach in future urban planning efforts.