The purpose of this study was to develop and validate qualitative value indicators of region-based community dance for cultural urban regeneration. To this end, the conceptual structure of local-based community dance was explored and evaluation indicators were developed by deriving questions related to this. The specific research procedures and results are as follows: First, a literature review and Delphi survey were conducted to obtain factors and questions regarding qualitative value indicators. Consequently, four factors of local singularity, convergent creativity, sustainability, and community culture were obtained with 43 questions. Next, a preliminary survey targeting 122 people who have participated in representative local dance festivals (the ‘Wonju Dynamic Dancing Carnival’, ‘Cheonan World Dance Festival’, and ‘Andong Maskdance Festival’) in Korea was conducted to determine the relationship between the factors and questions. Multi-dimensional value indicators with 30 questions in four factors were obtained from an exploratory factor analysis using SPSS version 25.0. Then, the main survey, targeting 341 people who have participated in three representative local dance festivals in Korea, was conducted to verify the validity of the value indicators. Finally, evaluation indicators of 26 questions (seven questions for regional uniqueness, five questions for convergent creativity, seven questions for sustainability, and seven questions for community culture) were developed from a confirmatory factor analysis using AMOS version 24.0. Additionally, the contents evaluated by each factor are as follows: Firstly, ‘Local Singularity’ is a factor in whether the evaluation target sufficiently contains the unique characteristics of the region. Secondly, ‘Convergent Creativity’ is a factor in whether the evaluation target converges the indigenous culture (traditional culture) and acceptance culture (modern culture) of the region well. Thirdly, ‘Sustainability’ is a factor in whether the evaluation target contributes to the sustainable development of the region. Fourthly, ‘Community Culture’ is a factor in whether the evaluation target contributes to the formation of community culture in the region. This study is significant in that it emphasises the potential possibility of community dance, which can contribute to cultural urban regeneration based on the perspectives of cultural democracy. Therefore, the results of this study are expected to be extended and applied to various types of community dance in the future. Moreover, it is further forecasted that this study will suggest the meaning of the qualitative valuation of art and culture for a variety of subjects, such as policy experts and administrators, as well as for directors, choreographers, and participants in community dance.