This study was done to provide a case model with a concept of environmental integration based on the water circulation system. Area of interest (AOI) is the Eastern Pangyo New Town area, which has several advantages in adaptation of a water circulation system. The AOI has a potential of maintaining water resources, and has a good condition to construct the water circulation system. Research done for the purpose of the establishment of the water circulation system in the Eastern Pangyo New Town shows the following. The main sources of water supply in the water circulation system in the Eastern Pangyo New Town is from two subway stations and runoff water, along with the natural water flowing from the mountains, rain water, and stream water. It was determined that more than 35,000 tons of water would be needed for the creation of water circulation system at the Eastern Pangyo. If the creation of infrastructure for the use of runoff and rain water as well as the periodic management can be provided, it can serve as the new model for a new city with water circulation system. In addition, since the Eastern Pangyo New Town water circulation system can secure enough amount of water resources, natural drainage system (NDS) in which it can be in dry condition in non-rainy days, is applied and connected to the typical waterways. Such water circulation system has many positive aspects including the wise use of water resources, and providing wild Life animals corridors and habitats. Also, the water circulation system can lead to the environmental education to the residents and visitors on environmental awareness of the water circulation system and their environment.