Mitigating the harms of gentrification to communities of color is a pressing challenge. One promising approach is preference policies that enable long-term residents to remain in or return to gentrifying neighborhoods. This mixed-methods study evaluates the City of Portland’s “Preference Policy,” which provides targeted affordable rental housing to residents displaced from a historically Black neighborhood. This paper draws on survey, interview, and focus group data to explore resident motivations, changes to well-being, and recommendations for improving the policy. Findings suggest preference policies can enhance well-being, and underscore the need for comprehensive strategies to advance racial justice in gentrifying neighborhoods.