This study attempted to clarify the modern transition process of the urban space through the construction and change of the Imperial Palace as a central facility in Seoul. The road renovation of Seoul, which started in 1895, has established a modern, circular transportation system centered on Gyeongun-gung Palace, the Imperial Palace along with the tram line. In this urban structure, the imperial palace as a central facility of the former monarchy, unlike the previous palaces, could not be located at the top of a road with a longitudinal axis, and it expanded its territory around foreign legionaries and placed a new government office around the perimeter. However, the royal palace was moved to Changdeokgung Palace in 1907 with the throne of Sunjong. With the creation of Changdeokgung, which is the periphery of Seoul, as new royal palace, the status of the imperial palace in the city was remarkably weakened, and Gyeongun-gung, located in the center of Seoul, was also reduced to the current Deoksugung area, turning into an urban facility facing a modern street.