China’s rapid urbanization has driven a segregated, village-based society, which had embraced a mixture of institutions combining socialist collectivism and an ancient lineage tradition, to escape its historical constraints to establish entirely new institutions that reflect the urban market-oriented society of today’s society. In the workshop, we seek to explore the interplay between property rights reforms and local governance transformation in urbanizing China. we will cover several main themes as follows: (1) shareholding reforms and community economic development; (2) shareholding reforms and property rights transformation; (3) shareholding reforms and community organizational changes; and (4) shareholding reforms and restructuring of state-society relationships.