The paper discusses mental health care in the context of Psychiatric Reform being implemented in Brazil. It is the results of a research-intervention proposal that potentializes deinstitutionalization of residents of São Pedro Psychiatric Hospital, and addresses more specifically the transition work therapeutic residential services Morada São Pedro, in Porto Alegre city, Brazil. Beyond the mere displacement of a physical space to another, this transition concept relates more to the subjective appropriation of new subjective territories and other forms of life and living. The subjectivation processes emerging among users, workers and researchers, when moving into new life territories, were used as analyzing devices and are problematized here, in order to think over the role transition would play in the life production of these new members of urban life. [ABSTRACT FROM AUTHOR]