Since the 1980s, the municipality of San Andrés Cholula, Puebla, has been a territory with constant clashes between its rural population and the official land use policy. In this context, the rural community and its millenary bio-cultural traditions have collided with neoliberal political and economic interests, new urbanism, and land speculation, commodification of local culture and privatization of the public space. The above-mentioned facts represent a challenge for sustainable land management of the territory and for socio-spatial justice, as a large portion of the land is becoming a private asset, meanwhile the large extension of rural land has been for communal use. The present work aims to discuss the processes triggered by neoliberal urban development logic in the area, and how these dynamics have affected the identity of the place, endangered its bio-cultural heritage and jeopardized the local communal right to the land. It will also examine the possibilities for a creation of a collaborative instrument to enhance the participation of the local community (or pueblos originarios—original people—as they identify themselves), in sustainable land management processes, in order to obtain a balance between the community, the public policy and the economic forces in urban development.