CINCINNATI  From his months-old French bistro, Jean-Robert de Cavel sees restored Italianate row houses against a backdrop of rundown tenements in this city’s long-struggling Over-the-Rhine neighborhood.

He also sees a turnaround for the district, thanks to plans to revive a transit system that was dismantled in the 1950s: the humble streetcar line.

“Human beings can be silly because we move away from things too quickly in this country,” Mr. de Cavel said. “Streetcar is definitely going to create a reason for young people to come downtown.”

Cincinnati officials are assembling financing for a $132 million system that would connect the city’s riverfront stadiums, downtown business district and Uptown neighborhoods, which include six hospitals and the University of Cincinnati, in a six- to eight-mile loop. Depending on the final financing package, fares may be free, 50 cents or $1.