This study examines the optimization of ground source heat pump (GSHP) systems and energy piles for sustainable urban development, focusing on Southeast Asia. GSHPs, which utilize geothermal energy for indoor HVAC needs, offer a sustainable alternative to traditional systems by utilizing consistent subsurface temperatures for heating and cooling. The study highlights the importance of understanding thermal movement within the soil, especially in soft marine clays prevalent in Southeast Asia, to improve GSHP system efficiency. Using a one-dimensional finite difference model, the study examines the effects of soil thermal conductivity and density on system performance. The results show that GSHP systems, especially when integrated with energy piles, significantly reduce electricity consumption and greenhouse gas emissions, underscoring their potential to mitigate the urban heat island effect in densely populated areas. Despite challenges posed by the region’s hot and humid climate, which could affect long-term effectiveness, the study highlights the need for further study, including field experiments and advanced modeling techniques, to optimize GSHP configurations and fully exploit geothermal energy in urban environments. The study’s insights into soil thermal dynamics and system design optimization contribute to advancing sustainable urban infrastructure development.