This is a study of a residential area for displaced villagers planned for residents of Gyodo Village who must evacuate their hometown because of flooding due to the Hantan River Dam Project. The study aims to construct a plan for a new residential area for the villagers focusing on reflecting the existing characteristics of their former village and on ensuring sustainability for the new village. Departing from previous practice of focusing on merely physical aspects when planning, the current study is significant in that it presents a new planning process and method for a sustainability-focused plan. While the study has many limitations such as objectivity in the process of deriving the sustainability indicators and the appropriateness of the indicator questions, it is hoped that future studies on sustainability will serve to make up for these limitations and problems.