This research investigates the industrial building heritage associated with canals in the Emilia-Romagna region of Italy, systematically examining its spatial distribution, historical evolution, and impact on local economic and social development. Through ArcGIS analysis of 137 industrial heritage sites, the study finds that 70.5% of these sites are located within one kilometer of a canal, highlighting the critical role of waterways in industrial site selection. By analyzing representative cases in Bologna, Ferrara, and Ravenna, the study underscores the multifunctionality of canals in industrial production, transportation, and water resource management. The findings indicate that canals not only served as essential infrastructure for industrial development but also profoundly shaped regional industrial layouts and urban morphology. However, with the transformation of transportation systems and industrial structures in the 20th century, many canal-related industrial sites experienced significant functional changes. Their transformed status can be categorized into three main types: conversion into public service facilities, long-term abandonment, or partial restoration for original functions. Building on these findings and drawing on exemplary international cases, this study proposes five key aspects for assessing the development potential of canal-related industrial heritage: heritage condition analysis, ecological management of canal systems, spatial redevelopment potential, public–private collaborative development models, and the role of heritage in regional revitalization. The insights provided aim to serve both as a theoretical foundation and a practical reference for the conservation and sustainable development of canal-related industrial building heritage in the Emilia-Romagna region and similar sites.