Studies that specifically address the contribution of urban kampongs to the city economy are scarce of it is yet unclear how can and should strategies formulated at the local government level integrate and collaborate with co-existing informal economies. Therefore, our research aims to analyze the relationship between the informal economies of kampongs and formal creative industries strategies, and how these impact the spatial, social and economic development of kampongs. The study will identify: the commodification of informal industries and their contribution to local economy, social and economic opportunities for Small Medium Enterprises, and the mutual relationship between the informal economy and land use patterns. The study also addresses the issue of justice for vulnerable communities, by analyzing the relationship between government-led strategies and changes to socio-economic characteristics, land, and tenure security in urban kampongs. The interdisciplinary research combines qualitative and quantitative approaches, including socio-economic, policy, and spatial methods of analysis.