This article addresses the development of Santiago’s urban periphery through the analysis of Renca’s case during Carlos Ibáñez del Campo’s dictatorship (1927-1931). A place that was somewhere in between urban and rural. In this case, the housing and basic services problem was strongly manifested in the shanty towns or poblaciones which were characterized by a lack of hygiene, equipment, and infrastructure. Ibañez responded to this situation by implementing a legislation and a bureaucracy that sought to regularize the configuration of these growing shanty towns by reinforcing the municipality (local council) and the Intendencia’s role (provincial government). This action was linked to massive and active neighborhood organization. Furthermore, the analysis of different documentary sources will highlight the relevance of new urban actors such as the “mejoreros” and long-term site buyers, which promoted a change in housing policy and the way in which Santiago’s growth was addressed.