The main question is what sense it makes to renew it; it all depends on the calculation. Only wealthy individuals counting on profit have this kind of money, or (and here it is usually the case) the local community. This municipality has enough money to afford the renovation and make social housing with a minimum standard and a minimum rent. Of course, again, there is some calculation. If it doesn't work out, they tear it all down; sometimes, the land is worth more than the building on it.