Demographic change and economic decline modify the patterns of urban land use. Shrinking cities are the subject of intense international debate and numerous academic and government studies. However, neither thorough scholarly understanding of the urban shrinkage phenomenon nor proven urban strategies for its mitigation have been achieved. Characterized by the incipient stages of urban sprawl in a context of acute population loss, the un-sustainability of Romanian urban development is unequivocal. Social and economical changes have lead to a massive deindustrialization, crippling unemployment and mass population exodus. The paradox of continuous urban growth irrespective of urban dynamics has at its roots peculiarities of Romania's socio-economical background and forms a distinct type of shrinking city with just a few touches of ghost town for added damage. Through a comparative analysis of the planned and actual development, over the last 25 years, of several Romanian cities, differing in size, geographical location, social and economical context, we outline the development models which lead to the decline of the urban fabric further affecting the social infrastructure. The aim of this study is to assess the socio-environmental impact of shrinkage, conclude whether Romanian cities are true shrinking cities or a mutated form and present initial findings concerning the impact of, and on, key urban actors, experts, politicians, investors, authorities and citizens.