Throughout the ’80s and ’90s, things looked mostly bad for American cities. Outside of a handful of coastal centers like San Francisco, New York, and Seattle, the overwhelming trend was people moving to the suburbs. Millions of middle-class families voted with their feet for open vistas, lower crime rates, newer schools, bigger yards, and shopping megacomplexes. But urban areas now seem to be staging a comeback. Evidence of this trend—good news for some, bad news for others—is escalating real estate prices in many urban neighborhoods across the country. Americans seem to be falling in love with cities again.

Worsening traffic congestion has convinced some suburbanites to trade 40-plus-mile freeway commutes for 10-minute strolls down city sidewalks. For others it’s the realization, driven home by the Columbine High School shootings, that no community is immune to violence, drug abuse, and other woes once seen as exclusively urban problems. A lot of kids who hail from homogenous bedroom communities are coming to appreciate the appeal of city living. Many new dot-coms, for instance, find that edgy urban neighborhoods are potent lures for the young tech-savvy talent they’re seeking. Cities are also increasingly attractive to suburban empty nesters—baby boomers with grown-up kids, who are eager to trade lawn mowing for theatergoing. And most important are the folks of all ages who never gave up on urban life, the ones who rolled up their sleeves to hold the line on urban decay and ultimately bring real improvements to their neighborhoods, even as suburban flight deprived cities of desperately needed tax dollars.

Not every city, and certainly not every neighborhood, has conquered its economic, environmental, social, and racial woes. Yet all around there is a new spirit of optimism—even in places where people once saw little hope. These 10 cities, which ranked low on most people’s livability and economic vitality lists just a few years ago, still face very real problems, especially in their poorest districts, but they are also blessed with classic older neighborhoods, lively downtowns, and residents who are proudly working to make them great places to live.

1. Milwaukee

A classic rust belt city that’s made a fresh start • Mayor John O. Norquist understands what makes cities work as well as anyone in America • A freeway that cuts through the heart of the city is being torn down • A thriving new neighborhood, EastPointe, has been built on land cleared for another freeway that was never built • A delightful river walk lines the Milwaukee River downtown • Great old industrial buildings are being converted to offices and lofts • Miles and miles of lakefront park are lined by architecturally distinguished neighborhoods • A new ballpark and a dazzling addition to the city’s art museum are in the works • A wonderful tradition of ethnic festivals enlivens the town throughout the summer • Strong neighborhood redevelopment initiatives, good housing stock, and the best corner taverns in North America.