Creation of model municipal libraries of new generation is carried out within the framework of the National project “Culture” developed in pursuance of the Edict of The President of the Russian Federation № 204 of May 7, 2018. The aim of the project is to find new models of library development that combine cultural, educational, scientific and educational functions. Modernization of municipal libraries is carried out on the basis of principles of modernization of public libraries, recommended by the Model Standard for Public Library Services. The authors consider the library as a system object and on the basis of internal and external relations of the object determine the place, role and functions of library in the communication process. The study is based on the concept of library as a four-element system. The article describes each of its elements in the process of their evolution in the modern information environment. Based on the spatial approach, the authors identify the components and levels of the library space, determine directions of its development and substantiate the principles of its construction.The authors conclude that development of the model of library operation in the territorial information space should reflect the specific features of the formation of its own information space as a documentary-communication institution.