Sustainability indicators play a key role in putting the ambiguity of the urban development concept in a way that could be realized and accordingly measured. This paper develops a set of indicators for a local city based on the study of the experiences of a number of quintessential International institutions and organizations for measuring urban development. It analyzes the ethics and concepts of measuring sustainability in terms of the main system, subsystems, and the Orientation theory for the systemrsquos classification. The paper develops a model based on studying these systems. This model investigates the three aspects of the environment in local cities the Built environment, the Natural environment, and Human Well-being. The paper applies this model to the city of quotMisrataquot, Libya. The findings were used to validate the proposed model measuring the achievements of urban development using local indicators.