Research on the people-place relationship has been approached from several perspectives, focusing on separate aspects rather than studying it within a unified framework. Also, the people-make-place aspect, which is vital to the relationship, is ignored in these studies. By integrating three major aspects: "people in place," "people-make-place," and "people-place emotional bonds." This review paper aims to conduct a holistic theoretical framework to explain the dynamic relationship between people and place. Descriptive methodology has been adopted in the research. The main result shows that people-make-place is a foundational aspect that shapes the people-place relationship on two levels: the conscious and the unconscious. On the other hand, people-place emotional bonds serve as the motivation behind the continued existence of the relationship. At last, a comprehensive theoretical framework has been provided. Policymakers and professionals can use this framework to understand better how to incorporate these dynamics into future place development. The paper includes suggestions for future research.