Heritage consider one of the non-renewable resource, which should be conserved to preserve the historic evidence which carried by the historic palace, as rehabilitation operations help in raising efficiency of heritage buildings, as it represent historic district node of development. To conserve historic palaces a suitable use should be chosen, that may require a partnership between governmental and private sectors to reach the maximum economic benefits, the mentioned partnership depends on understanding the historic values, a combined strategy of experimental and case studies methods of researches will be used, that to evaluate the existing use in Egypt to make the assessment of the rehabilitation of the historic palaces, to reach the research objective of draw rehabilitation polices keep the historic evidence within heritage districts morphology.