In some respects the title Temple Bar Properties has been a misnomer for several years now. Throughout its 15 years of existence, the role of the organisation has evolved from property development to management of a property portfolio dominated by a cultural strand, and the organisation of cultural events designed to enhance and promote the identity of the area.

As Gráinne Millar, Temple Bar's cultural development director, puts it: "From 2001 our role changed from the physical regeneration of the area to protecting and looking after the cultural buildings and the outdoor events programme." So last April Temple Bar Properties became the Temple Bar Cultural Trust (TBCT).

TBCT's property portfolio includes close on 50 premises in all, including about 25 small commercial properties. By cushioning its cultural tenants from market rates, the organisation reckons it absorbs rent costs of about €1.9 million per year.

At the same time, those cultural tenants account for 15 per cent of arts council funding to arts organisations, so it's clear that Temple Bar is home to a strong core of cultural centres, including the Ark, the Irish Film Institute, the National Photographic Archive and the Gallery of Photography, Temple Bar Gallery & Studios, the Irish Landmark Trust, Filmbase and the Contemporary Music Centre.

Millar, who recently delivered a presentation on Temple Bar to the delegates at a World Summit on Arts and Culture at Gateshead in England, said that the response to Temple Bar has been very positive. "Internationally, Temple Bar is regarded as being extremely successful. The theme of the conference was how art can transform lives and places, and people from all over the world look to us in that regard." Other cities are, she says, studying Dublin for lessons in culture-led regeneration projects.

IT COULD BE argued that the key to Temple Bar's success lay in the original constitution of Temple Bar Properties, in which the late Charles Haughey was a prime mover. "The company had a number of extraordinary powers," Millar notes, "including compulsory purchase." As a quango, it was free to get on with the business of redevelopment without constant outside consultation (TBCT's board is now appointed by Dublin City Council).

The principle of preserving the old streetscape while avoiding pastiche and introducing contemporary architecture, relatively novel in Ireland at the time, proved hugely successful. Under the umbrella Group 91, it provided a superb arena for younger Irish architects.

From the beginning, the concept of a living, mixed area was central, and TBCT claims the population has increased 10-fold since 1991. To some extent this entailed preserving the mix of cultural activities and small businesses that had colonised buildings earmarked as the site of a huge bus station. Yet it was always going to be difficult for economically marginal enterprises to make the transition to an inevitably more expensive context. Substantial tenants, including Temple Bar Gallery & Studios, were in a position to fight their corner, and did so. For traders unprotected by the cultural umbrella, things have been tougher.

Inevitably, even on the cultural front, everything has not gone smoothly. But the organisation seems to have weathered the difficult patch it experienced few years back, with the closure of DesignYard (intended as a showcase for Irish designers and makers) and the Viking Interpretative Centre.

It seemed for a while as if the cultural quarter was at risk of losing some of the cream of its cultural tenants. The DesignYard debacle in particular caused some questioning of Temple Bar's commitment to its cultural brief. The demise of its ambitious Outside Visual Arts programme, overseen by Aileen Corkery, and the problematic role of Arthouse, added to the questions.

In its original incarnation, it was never quite clear what the function of Arthouse was, beyond representing an aspirational combination of art and new technology. Now, as headquarters for Filmbase, the building has to all appearances settled down into a useful role.

Meanwhile, although it is a commercial venture, the Gaiety School of Acting has been broadly welcomed in the area, and it is the kind of enterprise that enriches the cultural texture. The next logical step, the re-establishment of the Smock Alley Theatre in Michael & John's, has been mooted but is dependent on the commitment of significant funding, as yet unconfirmed. As a destination at the foot of Cow's Lane, the theatre would provide a much-needed injection to Temple Bar's West End.

The Outside Visual Arts programme has not been replaced. The title to DesignYard, meanwhile, was acquired by Whichcraft, in Cow's Lane, and it has set about the task of rebuilding the profile.

On the whole there is a good, vibrant mix of cultural activity in Temple Bar. Millar is phlegmatic when it comes to the traditional complaints about late-night drinking and its associated behaviour. "It is a mixed-use area. Youth culture is part of that. By definition it encompasses a diverse range of social activities including, yes, drinking."

This summer's Diversions festival has been billed as the largest of its kind in the country. As street art goes, it's fairly middle of the road, so to speak, being broadly populist in its emphasis, with a celebration of circuses and other family events.

"Accessibility in every sense is a priority," Millar says. "After all, Temple Bar was built with taxpayers' money, and we want to provide good experience and the space to enjoy them for a broad audience."

But, she argues, it's not all bread and circuses, pointing, for example, to the site-specific music installations scheduled for July. She regards the recent traditional music week as an important event as well, while the staunchly mainstream feature films screened in Meeting House Square are accompanied by contenders for the Short Film Award. And: "In the past we've had an audience of 500 turn up to see contemporary dance in Meeting House Square."

In any case, she says, TBCT is currently reaching out to the wider arts and culture community to explore possibilities and look for input. "Such collaboration is something we haven't really looked at until now. And beyond that, I think we and the arts management infrastructure in Ireland generally appreciates the importance of finding ways of connecting with the broader international community."

The constitution of Temple Bar Properties was clearly a winning formula, essential for ring-fencing the cultural component, which would otherwise be a victim of the area's success - something that has frequently happened elsewhere.

The long-term survival of the small scale, indigenous Irish commercial enterprises is more problematic. They are more susceptible to commercial pressures. Just look at the way autonomous retailers are routinely displaced by multinationals in the wider urban context. Yet small, design-oriented retailers are absolutely central to the character of Temple Bar.

Given its modest scale, it is surprising how concentrated the focus of activity there remains. On an anecdotal level, this is easy to see. Just take a stroll along Fleet Street from Westmoreland Street. The busiest point by far is centred on the square adjacent to Merchant's Arch. By the time you get to East Essex Street things are noticeably quieter. Cross Parliament Street and the contrast is marked. Although it is livelier than it was, the West End is still off the main drag.

In considering the future of Temple Bar two years ago, the Howley Harrington Report highlighted, among other things, the problem of definition, pointing to the need to have identifiable "gateways" to the district. This is something that has become more important as adjacent areas are undergoing regeneration. But to the casual eye, there is as yet hardly any sign of such gateways. The name may have changed, but surely in this and other respects TBCT still has a developmental role to play.