This paper aims to analyze the administrative capacities of local units for the integration of migrants in conventionally non‐immigrant countries and examine the association between the quality of local governance, sustainable development, and integration. The empirical case study was conducted on Croatia, which in recent years has experienced a modest increase in the number of migrants. The survey was conducted in eight cities in Croatia, which have undergone or expected to undergo the integration of refugees and migrants. The administrative capacities were analyzed in terms of four issues that are considered crucial to integration policy: delivery, regulatory, coordination, and analytical capacities. The findings reveal that local administrative capacities must be developed to respond to the individual needs of migrants.