The global discourse on the role of universities in rural revitalization has gained significant attention. The proposition is to leverage university expertise and resources to support rural development, including knowledge (co)production, community co-creation, and volunteerism – a practice that essentially bridges local actors and their knowledge with external actors and their knowledge. As advocated by UN Habitat III, the collaboration between universities and rural communities is an initiative exemplified by China's “Jointly Create a Beautiful Environment and a Happy Life” to enhance the built environment. This study aims to comprehensively investigate the implementation and outcomes of the “Rural Four Small Gardens” projects, which serve as a vital community development initiative within the Hongtang Village in Fengqing County, Yunnan Province, China. The research discusses those processes, observing opportunities for knowledge (co)production across diverse stakeholders in line with neo-endogenous rural development thinking. By exploring the co-creation approach employed in these projects, we seek to unravel how academia and local communities collaborate to address multifaceted challenges in rural areas. We argue that: 1) The engagement of rural communities through collaborative planning workshops serves as the fundamental cornerstone for university paired-up assistance; 2) the co-creation model for improving rural settlement necessitates the collective efforts of multiple stakeholders; 3) university faculty and students play pivotal roles during the process of service learning, practice research, and knowledge (co)production with villagers; and 4) Knowledge (co)production entails a dynamic process of co-construction, co-governance, and resource sharing, exemplified by co-creation initiatives of home development, farmyard enhancement, and infrastructure projects. The research offers insights for global universities seeking to engage in similar paired-up assistance initiatives, underscores the significance of co-creation in rural development, and enlightens planning education in practice and service.