Through various analytical methods and a detailed understanding of informal settlements and their economies, valuable insights were gained for the design proposal. Studying the urban history of Windhoek helped reveal the causes of spatial segregation and provided a deeper understanding of local conditions. The research showed that informal settlements emerge from a complex combination of social, economic, and political factors rather than a single cause. Neighborhood analyses, site visits, and interviews with residents offered important insights into daily life, existing challenges, and the current living situation. These findings directly informed the design process and the development of appropriate urban strategies. Based on the collected data, a phased approach combining urban planning and political measures was proposed. Immediate interventions focus on improving infrastructure, while legal recognition of the settlement and local businesses is targeted within two to five years. Long-term formalization of buildings is expected within five to ten years.