A system and method of improving the condition of skin by reducing or eliminating wrinkles and hyperpigmentation is presented. The method delivers stem cells into the dermal layer of the skin to increase the number and density of fibroblasts in the dermal layer which in turn increases collagen, elastin and hyaluronic acid production to improve the appearance of the skin. The method includes constructing a scaffolding within microperforations in the skin and administering a therapeutically effective amount of stem cells to the skin which are supported on the scaffolding to remain in the microperforations for weeks thus allowing the dermal layer of skin to rebuild to a more youthful state.