The marginalized urban community is a group of people who do not have access to the economic and formal infrastructure of the city. They are similar to the people who live in the slum and squatter areas. The inadequate financial capacity causes low affordability for housing. Additionally, the limited supply of land and uncertainty of housing regulation for the marginalized cause them to occupy public space. This study aimed to identify the characteristics, preferences, and behavior marginalized communities. The research was conducted in Bandung, in three locations: Cidurian riverbanks, Kiaracondong railway and the land owned by the state at Tamansari. The research method is a quantitative method to capture character and preference of the settlements. This paper explained the research result of the marginalized urban community which occupied the public space, namely the riverbank, railway, and another state-owned land. The research result shows: The characteristics of the marginalized urban communities settlement can be identified as (a) semi-permanent and permanent houses; (b) 1-2 story houses; (c) formed settlements along the river, railway, and alley. While the preferences for occupancy: (a) needed a simple dwelling on the narrow land; (b) could unite the private lives with their socio-economic activities; (c) Having a clear legal status; (d) The shape and quality of the building is not the primary constraint compared to the function; (e) Having a low price houses.