Abstract: The 21th century witnesses more and more complicated value trends of urban planning. At the turning corner of market-economy transition, China shows severe "Value Crisis" in many aspects of its planning process, which even turns to be a threat to urban planning legality. In order to find out the reasonable value trends for institutional design in urban renewal, the paper takes Shenzhen, the forefront city of China's reform and opening up, as an empirical case. Then borrowed from Coase, the theory of property rights provides the paper a new analytical approach to review the evolution and transition of urban renewal policies taken palce in shenzhen. The result shows that the renewal guideline of Shenzhen has taken the public value in consideration seriously and gone hand in hand with market force. Finally, the author gives a conclusion on the understanding of reasonable space and regeneration mechanism of China's urban renewal from a comprehensive aspect.