Housing is one of the fundamental human needs. In assembly this housing require, each person needs a put to dwell. When determining the location to reside, individuals have their own preferences. One of these residential preferences is to live in an industrial zone. Water pollution occurred in Ciptomulyo Sub-district due to a leather company disposing of its liquid waste into the river in 2014, and its impacts are still felt until now. Moreover, many residential houses are situated very close to industrial areas. The purpose of this research is to recognize the components that influence the residential preferences of the community. The method used for this study is multiple linear regression analysis. The research findings identified ten factors that influence the residential preferences of the community: government facilities, educational facilities, electricity infrastructure, distance to the industrial area, length of residence, occupation, land price affordability, and security. Residential preferences are dominated by proximity to public facilities and ignore environmental health and comfort factors, so that for the sustainability of residential areas, it is necessary to integrate with industrial areas to play an active role in maintaining the potency.