This is a case study of a relocated settlement in Colombo that identifies the most and the least vulnerable families in the research location. In relation to the Sri Lankan urban poverty context, it is evident that nearly 20% of Colombo’s population is poor. When examining characteristics of urban poor who live in these settlements in Colombo, it is evident that low levels of educational attainment and literacy levels as well as a high rate inschool dropouts are prevalent among the community. Questions relating to reasons for their vulnerability, the nature of short-term and long-term household coping strategies employed to secure their livelihoods, and the factors that affect a household’s ability to cope with such crises are examined in this research, in order to fill this gap.