ABSTRACT Although individual mental health is a growing concern for the Global South, the southern literature on health and planning has paid limited attention to space-sensitive neighbourhood studies on addressing the crisis. This paper highlights the importance of a holistic neighbourhood environment in shaping the mental well-being of citizens. Through a cross-sectional study of 14,222 households in 272 neighbourhoods of 13 cities across seven countries, the paper claims that there is a place effect on the mental well-being of citizens in rapidly urbanising Asian and African cities. This study demonstrates that the diverse physical and social attributes of neighbourhoods influence mental well-being. Better coverage of neighbourhood services, improved waste disposal services, quality neighbourhood health facilities and educational opportunities, high family solvency, safety, trust in neighbours, dwelling satisfaction, and habits of exercise are found to be the most influential attributes for good mental well-being. However, institutional attributes, like political leadership for neighbourhood management and neighbourhood-level associations, are less likely to be associated with good mental well-being. As the significance of influential attributes varies among neighbourhood wealth categories, cities and countries, a shift towards a place- and context-specific neighbourhood approach for policymaking can best address the mental well-being in rapidly urbanising cities in the Global South.