How about the little, unheard of gem of Bisbee, AZ?
Started life as a mining town. The old part of town was developed before the automobile, hence the close construction and narrow streets. The city went into decline in the early 1900's, just like most mining towns. But instead of becoming a ghost town, developers turned it into an "artistic" community in the 1970's. However, with an economy based around tourism, Bisbee has yet to "thrive".
It's at elevation, so not nearly as hot as central Arizona. Highs are in the 90's in the summertime, with winter lows in the 30's. It's about an hour and a half from Tucson, and 20 minutes to the US-Mexico border. Bisbee is divided into three "sections", with the old part of town feeling the most "European".
Examples of streets / architecture:
Bisbee is definitely at a turning point between decline and rebirth. It's definitely got potential.