Not being new，the issue of illegal commercial establishments converted from first-floor residences in the old residence community of Beijing seriously influences the city quality，public security，public interests and social order，which Beijing must face and tackle it. The comprehensive treatment for these illegal commercial establishments is an effective means to disperse non-capital functions and adjust population. Since 2016，Xinjiekou Sub-district of Xicheng District conducted the concentrated treatment of this issue at a working approach of “Seven Steps and Seven Words” with fruitful achievements. While presenting the significance，major practices，characteristics and achievements of Xinjiekou Sub-district in this regard，this article also makes recommendations for deepening this work.