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Abstract Urban renewal is the mode to promote a well-planned urban land redevelopment, revitalize urban functions, improve urban living environments, and to increase public interest. In addition, there are many potential business opportunities with urban renewal. There are also many lower uses of urban land urgently to be redeveloped. Thus, to accelerate the urban renewal has become one of the most important policies of economic recovery in developed countries. Nowadays, it is a worldwide trend that the countries take the urban renewal instead of urban expansion in urban development. In Taiwan, people are looking forward to improve the qualities of living environments, especially the cities with high density of buildings constructed without licenses. Therefore, it becomes the mainstream of urban renewal, to integrate both of the government recourses and private creative vitalities in urban renewal. The study discussed the possible strategies in dealing with the impact of the users of buildings without constructed licenses with urban renewal, and summarized as follows: It is the way that the implementers propose the reports of urban renewal to the government with both of the dealing results and the calculation of rights value of rights transformation for the users of buildings without constructed licenses. However, the government does not provide the virious measures for urban renewal which could be adopted in different conditions of the urban lands, especially for those areas are intensively aggregated with the users of buildings without constructed licenses. The study suggested that the government provides the compensation of the rights values in the areas with lower price of real estate, to promote the proceeding of urban renewal as well. For the rights protection of the disadvantaged residents, the study suggested that the implementers provide the onsite/offsite relocations or cash compensation with negotiation. In the current regulations of urban renewal, the users of buildings without constructed licenses are not to be allowed to participate in the rights transformation. The implementers could merely compensate with construction cost to the users of buildings without constructed licenses. To promote the urban renewal, the government should be the coordinator of implementers and the users of buildings without constructed licenses. The government does not only provide the incentives of building bulk to the implementer, but also the compensation to the users of buildings without constructed licenses for the insufficient parts of rights value and relocation cost during urban renewal.
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