This paper advances crime prevention through environmental design (CPTED) theory and practice by introducing a holistic and integrated crime prevention theory called Third-Generation CPTED. We use Third-Generation CPTED to expand both the situational focus of traditional CPTED and the social ecology/neighbourhood focus of Second-Generation CPTED, by creating a new theory that integrates human motivation and aspirations within a neighbourhood Liveability Hierarchy. Central to our theory is the planning concept of liveability and, because safety from crime, fear, and victimization is such an integral part of quality of life, we present two underlying themes on which liveability depends: public health and sustainability. We propose some theoretical assumptions and propositions that underpin the theory and suggest areas for future research. Our contention is that a holistic and integrative Third-Generation CPTED elevates liveability from the role of basic infrastructure and habitat to providing residents with opportunities to enhance their own personal aspirations and improve their quality of life.