This article introduces a process-oriented assessment methodology designed to address persistent challenges in Living Lab practice, such as lab-washing, social impact assessment, and assuring long-term, value-driven transformation and sustainability. Grounded in design ethnographic practice and embedding iterative and participatory engagements, the approach enables continuous reflection and adaptation rooted in reallife Living Lab contexts. Key methods – such as ethnographic deep dives, trading zones, Think Forward workshops, and assessment interviews – enable the identification of both intended and emergent social impacts while fostering community ownership and deep scaling. The article argues that embedding assessment throughout the lifecycle of a Living Lab enhances its credibility, strengthens collaboration across project streams, and better supports systemic change. In doing so, it offers a practical framework for moving beyond symbolic participation and toward authentic, context-sensitive transformation, specifically within EU-funded projects’ contexts.