This study evaluates the competition solution for the new city center in Stanežiče in line with the Sustainable Urban Strategy of the City of Ljubljana. The proposal focuses on the large gravel pit created because of years of exploitation of the terrain, which has acquired the dimensions of an altered landscape. By preserving the pit as a valley, the project also preserves natural elements and does not attempt to modify or camouflage the transformed landscape, but rather seeks to emphasize that elements of a degraded urban area can be used in the solution concept. The proposed modified urban landscape incorporates well-thought-out harmonization between the urban and the rural in order to provide a new and completely original character for the future housing development. Due to the competition requirements that soft edges needed to be designed for the deep central part, the housing takes the form of terraced buildings that descend to the bottom of the valley, and the green roofs of these buildings adjoin the central part of the empty space along their edges. The design is also intended to protect the area from the impact of noise and other unwanted negative influences. Through cutaways joined by a city rail route, the projecting slopes of the eastern edge of the gravel pit are extended all the way to the edges of the main thoroughfare, Klagenfurt Street (Celovška cesta), creating an area for multistory business premises underneath. This allows one to walk unhindered between the floor of the newly designed valley and the edge of Klagenfurt Street (Celovška cesta). Another unique feature is the public open area along the city rail route, which ascends onto the business buildings’ green roofs. Views of dominant natural features (Mount Saint Mary and the Kamnik Alps) and manmade features (St. James’ Church in Stanežiče) are the main motif of the public space in the green valley of the new housing development. The solution premises sought to provide quality of urban life, strengthen development activities, and ensure social justice. The planned infrastructure for sports, recreation, and leisure activities, as well as the importance of the extensive green system, confirm that the project’s premises are aligned with the contemporary sustainable urban policy.