This paper analyzes the content, operation methods and implementation effectiveness of “three old” transformation in Guangzhou city, and expounds the “three old” transformation policy through taking urban village reconstruction as an example and combines with game theory analysis method, which sum up the advantage and exist problem of Guangzhou “three old” transformation. It concludes that the “three old” transformation in Guangzhou does not cause more harm than goodness, and a fully implementation is good for urban renewal and protects the interests of the villagers. Transformation is both an opportunity and a challenge. An initiative of people, coordination of different participants in the process of implementation, respect and suggestion from villagers, strength supervision and management are required during implementation. Meanwhile, this paper puts forward number of shortcomings of the current policy, in hope of that this can be taken as an reference by the further implementation of the “three old” transformation.
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