Objectives: The aim of the present study is to elucidate the relationship of community capacity to health in a metropolitan area in Korea. To do so, a multi-level model to verify the contextual effects of community capacity is presented. Methods: The study materials are the "The 4th Seoul Citizens Health Indicators Surveys" on 404 dong in Seoul. The community capacity indicators were developed in two strata: individual-level indicators with community identity domain; and community-level indicators with participation in community organizations, number of non-profit organizations, degree of organizing of community-based organizations, and volunteer activities. Results: Higher unhealthy probability occurs among those with lower community capacity at the community level, lower individual income, and lower community satisfaction at the individual level. It contributed to explaining self-rated health status and showed that there were contextual effects of the community going beyond the compositional effects of the individual. Conclusions: In the process of building community capacity, a community autonomously finds pending issues and solves related problems, and in so doing, raises the social quality and establishes the conditions for health promotion. Thus, the significance of neighborhood needs to be discovered and created in a new way through the development of community capacity.