This study explores ways in which intercultural dialogue is fostered through the activities of the social enterprise BlueFire, based in Dublin's north inner city. Using a critical participatory action research methodology and a capability perspective, it seeks to understand how, and to what extent, BlueFire has begun to create a dynamic dialogical space using the arts and community engagement through core activities including the BlueFire Street Fest and the Smithfield Summer Picnics. Outcomes of the research so far include an on-going dialogue on integration and community engagement that has led to a deeper appreciation of the factors that underpin communication and social practice in community settings.