Although the rationale behind the establishment of local governments globally is developmental in nature, it is sardonic and appalling to note that development is far from these local areas, especially in developing nations with Nigeria inclusive. In Nigeria, provisions of basic needs like local roads, drainages, healthcare and education in these local areas are questionable despite the number of local governments created nationwide; it is on this basis this paper is undertaken to assess the role of local government in community transformation, with a specific focus on Abeokuta South Local Government. The paper adopted a descriptive research method and data was gotten through the use of questionnaire and interview from residents and local government staff of Abeokuta South Area L.G.A. The paper adopted simple percentage with a mean score of 2.5 or higher as benchmark, while efficient service-delivery was adopted as a theoretical framework. The paper discovered that Abeokuta South Local Government is equally created constitutionally and funded internally and externally, however, it was found underperforming, as most of the local developmental jobs are performed by the state government. This was due to several factors such as adoption of caretaker committee which led to lack of political autonomy, inadequate funding, lack of visionary local leaders, corruption etc. Therefore, the paper recommends that for Abeokuta South Local Government Area to be transformed the Nigeria Constitution should be amended to give full autonomy both in administration and fund to local governments, a democratically elected government should replace the transitional or caretaker committee.