Golden Horn, the centrally located inlet of Bosphorus, Istanbul, used to occupy a substantial position for the industry and was perceived as a poor-quality area regarding the emergence of slum neighborhoods and the environmental pollution caused by industrialization. The 1980s marked a turning point with the deindustrialization process, where the urban regeneration of the Golden Horn waterfront was seen as a major opportunity for representing the globalizing Istanbul through culture-led attraction zones and privatization of industrial heritage facilities. Such an approach failed to establish a context with their broader urban environment and promoted gentrification and segregation and Istanbul’s identity evolved exclusively towards culture and its government to a profit-based agent of the private market through the adopted neoliberal economic policies. Rather than a structural economic change and organized urban renewal, the culture-led urban transformations through the heritage industry overshadowed the current urban urgencies such as urban poverty and limited the accessibility of the locals to heritage values. In this direction, the research aim promotes a challenge on how the transformation of industrial heritage areas can extend beyond their cultural and historical values by (re)establishing a broader urban context while providing an emphasis on the shifting role of heritage management in urban transformation strategies. The integration with the broader urban context aims for a productive linkage with present-day values and place identity, and the anticipated urban transformation prioritizes the urgent needs of locals for socio-economic development. Through the analysis of the Golden Horn, the thesis emphasizes the transformation of the urban fabric in relation to the waterfront area, to understand the dynamics of the urban morphology and the place identity as delineated by (and with) post-industrial areas. Driven by the multi-layered study on Golden Horn, the main focus shifts toward neighborhood scale with the profound analysis and transformation of the Unkapanı Flour Mill in the Unkapanı district as an illustrative industrial heritage area characterized by urban poverty. Additionally, the analysis includes the Süleymaniye district and the world heritage site, exhibiting a multi-layered study of urban morphology, signifying an emphasis on existing problems and values, intensified through a distinctive narration with photos from the fieldwork. Furthermore, the anticipated productive transformation refers to a bottom-up approach, contextualized through components of urban integration, and design principles that are characterized by specific actions for Unkapanı’s transformation. In the end, the thesis finalizes with a brief conclusion by reflecting on the implementation of the design approach and the principles through their applicability and further developability for other industrial heritage areas along Golden Horn.