Temporary housing is designed as a short-term emergency measure, yet major disasters repeatedly turn it into a multi-year living condition. When temporary residence extends beyond its assumed timeframe, risks compound: social isolation and “kodokushi” (dying alone), deterioration in physical and mental health, and stalled livelihood recovery due to disrupted access to work, education, and care. This article reframes temporary housing as a “prototype neighborhood” for future urban living—an applied testbed where modular building systems, health-oriented spatial planning, and community-support services can be integrated from day one. Drawing on evidence from Japanese post-disaster studies and policy materials, we propose a transition-oriented design framework that treats temporary housing not as a disposable product, but as a life-course infrastructure that can be upgraded and partially transferred into permanent housing. The framework includes: (1) reusable modular components that migrate from temporary units into permanent stock; (2) a central commons hub that combines governance, social connection, and basic health services; (3) “health by circulation,” embedding micro-walk loops, shaded rest points, and routine outreach into daily paths; (4) on-site work and learning capacity to reduce commuting burdens and accelerate economic reactivation; and (5) staged transition menus that make pathways from temporary to semi-permanent to permanent housing legible and actionable. By designing for long duration and for continuity across housing phases, temporary settlements can become laboratories for resilient, human-centered “future city” practices rather than symbols of prolonged displacement. Such an approach also supports data-informed coordination among municipalities, NGOs, and residents, improving equity and sustained trust during recovery.