Abstract: Reviewing the traditional Bayu market towns from the perspectives of the landscape, heritage and community, this study finds that the beauty of the market towns is reflected in the natural landscape and the alleys and folk houses of Bayu. The rivers and hills are interdependent, creating a unique charm and aesthetic value. Based on the inheritance of the Tongxing market town traditional styles, this study takes the community design as a mean and, through 3-year on-site surveys, sorts out the relationship between people in the community for preserving the sustainable style features, improving the quality and consciousness of the residents, and the hardware structure of the alleys and architectures of the market town. It carries out designs for the sequential regeneration of each single building, thereby changing the appearance of the entire town. In the new era, from the perspective of living heritage and core communities, discusses the characteristics of Tongxing as a traditional market town. The research, featuring survey, feedback, redesign and re-survey, provides reflections, refinements and conclusion for the preservation, transformation and development of the unique characteristics of the traditional Bayu market towns.