Urban Open Spaces are considered as the 'lungs' of a city. The study examines the phenomenon ofrnneighborhood open spaces development approach and practice in one of the oldest cooperativernhousings in Addis Ababa. It focuses on environment policy process in FORE and its relation withrnspatial transformation of neighborhood open spaces. The phenomenon is investigated through thernanalysis of a case study located in Bole sub city, Woreda 03 commonly known as Bole Medhanialem.rnThe data are primarily collected through qualitative techniques supported by ethnographic researchrnmethod to validate the study area. The research is approached with the perspective of policy as arndynamic process embedded in local context and development as a multifaceted activity of differentrnstakeholders with varying interest and participation. Three theoretical frameworks have beenrndiscussed based on the course work in urban development and challenges. Based on these the casernstudy has been analyzed and general themes have been drawn for action, agents and change.rnEnvironment policy process is a recent phenomenon in Ethiopia along with the global quest forrnsustainable development. Therefore policies remain beautiful and elusive in script than in play whilernpolitics have also a dominant factor in shaping the understanding of society in general and opinion ofrnindividuals in particular. The role of lower administrative organs (Woreda) has been found critical inrncommunicating environment policy down to neighborhoods and monitoring development activities.rnHowever the theories of good governance and participation face challenges in practices whichrnrequires an extensive research into policy and its process in general. Community developmentrnassociations in the neighborhood were found to be very instrumental in mobilizing and motivatingrncommunity development works through volunteer members. Especially women associations wererncrucial in negotiating with the local governance and the people in developing the neighborhood openrnspaces. However the role of children and youth was found to be minimal which has generatedrndiscrepancy in what is intended and what is implemented for youngsters. Equally important findingrnwas the spatial transformations of the neighborhood open spaces after three years of developmentrnproject. These spaces have now sports area and children play ground facilities, however the proposedrnproject and the final output is inconsistent and didn't consider the need for football playing area.rnTherefore the findings from the environment protection and development approach in thernneighborhood have been used to link their implications to the agents, actions and changes in thernoverall process of environment protection and development.