This study is an attempt to assess the existing urban land delivery system for residential housingrnin Shire Endeslasie Town. There was no prior study on the practice of urban land deliveryrnsystem for residential housing in the Town. This is a motivation to carry out the study. This studyrnutilizes descriptive survey research method using both primary and secondary data wherernprobability and non-probability sampling were used. Based on this, 375 samples of respondentsrnwere selected systematically and 20 were selected judgmentally. The data was collected usingrnquestionnaire, interview, observation and document review.rnThe study observed that the performance of the town in land allocation for residential housingrndevelopment through different modalities such as lease, allotment and cooperative were poor.rnBeside this, there is a popular belief and reality that current urban land policy and laws havernbeen benefiting the rich rather than the poor. Bureaucratic tendencies, inadequate amount ofrnserviced land, shortage of work force, inadequate and distorted urban land information systemrnare factors affecting land delivery system for residential housing development. As a result of thisrngap of demand and supply the town dwellers faced residential and rental housing problems