During the last decade, institutional changes in the cultural heritage sector triggered some fierce debate in Europe. This paper analyses the complex process of privatising cultural heritage and the arts in Italy, showing how the relationship between this process and urban regeneration policies is tacitly legitimising it, despite the harsh controversies it previously provoked. From a perspective of 'territorialisation' discussed in this paper, this policy process could enhance the involvement of the private sector, bringing to light new fields of research and application in the international heritage debate.