Since 1995 a new policy environment has been created due 새 elected chief executives and elected local councils. Presumably, the new policy environment has affected the relationship between the central government and local government which has had something to do with local implementation of central policies. It is shown that local implementation of a central policy of restoring illegal apartment is not successful. Many factors are identified from an intergovernmental perspective. Among other things, distrust that had existed between the central government and local governments is a key factor which has hindered effective implementation. Despite of the new policy environment which has been characterized by the local autonomy the central government regarded local governments as an agency of the central government. In local views, the central government has tended to impute unsuccessful implementation to inaction of local governments. It is also confirmed that local governments are not capable of handing a higher level of discretion given to them. In light of regulatory policies, such as the policy of restoring illegal apartment alterations, local governments prefer details of central policy directives to local decisions. This argument is confirmed in this study. For better implementation by local governments of the central policies productive relationship between the central government and local governments should be promoted on the basis of mutual understanding and trust. The central government ought to regard local governments not as an agency but a partner. Productive partnership will bring up effective implementation environment in which central policies will be carried out by local governments.