Habitat fragmentation is one of the principal causes of biodiversity loss and hence understanding its impacts on community assembly and disassembly is an important topic in ecology. We studied the relationships between fragmentation and community assembly processes in the land-bridge island system of Thousand Island Lake in East China. We focused on the changes in species diversity and phylogenetic diversity that occurred between life stages of woody plants growing on these islands. The observed diversities were compared with the expected diversities from random null models to characterize assembly processes. Regression tree analysis was used to illustrate the relationships between island attributes and community assembly processes. We found that different assembly processes predominate in the seedlings-to-saplings life-stage transition (SS) vs. the saplings-to-trees transition (ST). Island area was the main attribute driving the assembly process in SS. In ST, island isolation was more important. Within a fragmented landscape, the factors driving community assembly processes were found to differ between life stage transitions. Environmental filtering had a strong effect on the seedlings-to-saplings life-stage transition. Habitat isolation and dispersal limitation influenced all plant life stages, but had a weaker effect on communities than area. These findings add to our understanding of the processes driving community assembly and species coexistence in the context of pervasive and widespread habitat loss and fragmentation.