Large-scale environmental problems have been triggered by ceramic tiles from demolished buildings and animal bone waste. Therefore, optimizing their potential for reuse and recycling is an important goal of sustainable solid waste management. The primary objective of this study is to evaluate the feasibility of partial replacement of the fine aggregates in cement mortar with a combination of natural animal bone powder and industrial waste materials which is wall tiles ceramic powder. This study measures thermal and mechanical characteristics. Recycling construction waste is one of many ways to deny waste material from entering landfills and create new eco-friendly material that reduces energy consumption in buildings. Modified mortar cement specimens with 5% up to 25% mixtures were combined using a 1:3 ratio and a 0.5 W/C ratio to see how the ratios would affect the material’s properties. The addition of a superplasticizer boosted the cement mortar’s workability and compressive strength. The compressive strength, flexural strength, density, and thermal conductivity were evaluated for each mortar mixture ratio. Results showed that compared to regular cement mortar, cement mortar combined with 20% bone and ceramic powder wastes reached the optimal replacement percentage. Compressive strength increased by 54% and flexural strength by about 67%. At the 28-day mark, thermal insulation was lowered by 25%.It is concluded from this study that it is possible to use bone waste as a natural material with ceramic waste as an industrial material to modify the insulation and mechanical properties of cement mortar.