The city is an organism that constantly enhances the vitality of the city and promotes the modernization of the city through urban renewal. The essence of urban renewal is the reconstruction of urban space and the optimization of governance. Although its motivations are complex and diverse, the theories of urban renewal, whether related to economics, society, ecology, governance, humanism, or organic renewal, reflect the pursuits of specific values and preferences. These theories guide the practice of urban renewal together. This paper reflects on the development dilemmas of urban renewal in China systematically in the aspects of renewal values, connotations, subjects, systems, and operation mechanisms. This study examines the promotion of the sustainable development and effective governance of China's urban renewal through an integrated urban renewal model. Integrated urban renewal can be systematically promoted by establishing a concept of people-centered urban renewal, constructing an inclusive urban renewal model, improving coordinated urban renewal systems, establishing an operation mechanism of urban renewal according to local conditions, and building technology-driven future cities and smart communities. Integrated urban renewal emphasizes the integration and coordination, systematicness, efficiency, and organic development of objectives, subjects, resources, technologies, methods and effects, pursuing the deep integration of urban development and governance. Integrated urban renewal promotes the sustainable development, overall governance, the optimization of national spatial layout, and the modernization of urban governance.