After entering the new century, China’s industrial structure transformation has changed the distribution of industrial areas in Wuhan. The relocation of major industrial production capacity has left many industrial architectural heritages in the main urban area. The protection and development of these industrial architectural heritages has become an important issue in the transformation and development of the city. This paper focuses on the reuse and development of abandoned industrial buildings in the city, and combines the growing housing demand in the city. The residential transformationResidential transformation of industrial buildings is taken as the specific direction of the research. Through research, a new transformation strategy of transforming abandoned industrial buildings into residential buildings in the city is explored, and the Hanyang Iron Works is used as an actual case to illustrate it.