Universidade da Paz (UNPAZ) was founded by the Fundação Neon Metin (FNM) on March 9, 2004, and is also the largest private university that existed in East Timor at this time. UNPAZ is highly developed in terms of the development of the campus (infrastructure) as well as the increasing number of students. Campus development led to a change of function spaces on Campus UNPAZ. In addition to the campus physical changes and function spaces occur in domestic surroundings, especially Kampong Osindo I Manleuana. Kampong Osindo I Manleuana is geographically located in Village Fatuhada, Sub District Dom-Aleixo, a Municipality of Dili, East Timor. This village was initially populated eyed livelihood as a farmer. Kampong near the main access point to campus UNPAZ caused the economic activities of the population be changed. This change led to changes in the functions of domestic space in the House or its grounds. To research further about the process of change of the function of the domestic space with the UNPAZ Campus presence, qualitative research approach is used, with the technique of collecting data through observation, interview, questionnaire and documentation Division on the local community. Changes the function of the domestic spaces above are analyzed with the relevant theories, namely physical changes, space, space, form and pattern of organization of space.