This study examines the problem-solving capacity of local governments and the processes of social participation within a centralized management paradigm from a sociological perspective. The proximity of local governments to the public provides an advantage in better understanding and solving social problems at the local level. In this context, the Kuştepe Urban Workshop, initiated by Şişli Municipality in 2018, aimed to interact with neighborhood residents and local leaders to identify and produce solutions for social problems in the neighborhood. The main objective of the research is to analyze the stages of participation of local governments in the transformation process of space in Kuştepe Neighborhood and the levels of social participation in these stages from a sociological context. The study, as part of the action research conducted in the neighborhood, aims to encourage participants to construct the neighborhood, produce solutions, and reflect on the space they live in with their values and experiences. In this context, a setting where mutual experiences are shared was created by ensuring the participation of various professional groups such as architects, urban planners, academics, sociologists, anthropologists, and students. The primary data unit of the research is the activities of the Urban Workshop conducted in Kuştepe Neighborhood. The workshop team evaluated the participation levels of the activities organized using Sherry Arnstein's ladder of participation methodology. This methodology provides a framework to understand how effectively community members are involved in the process. The data were obtained from field studies, participant observations, and workshop activities. Field studies included face-toface interviews with neighborhood residents and shopkeepers, while participant observations were conducted during neighborhood events. These methods facilitated an in-depth understanding of the spatial perceptions, social interactions, and participation processes of individuals living in Kuştepe Neighborhood within the context of space sociology. This action research aims to strengthen social ties and community solidarity in the neighborhood, approaching spatial transformation processes from a cultural and social perspective.