In the context of green building and sustainable urban development, understanding the mechanical behavior of structural components like concrete-filled steel tube (CFST) columns is crucial due to their improved load-bearing capacity, energy efficiency, and optimized material usage, which enhance structural resilience and sustainability. This research addresses the complex development of confining stress and its impact on the concrete core (CC) behavior within these columns, which are essential for urban infrastructure. Through extensive numerical studies, this study proposes a model to estimate the confining stress in axially loaded CFST short columns. Study findings reveal that the confinement effectiveness is influenced by variables such as compressive strength (CS) of the concrete, cross-sectional shape, and depth-to-wall thickness percentage. Additionally, the confinement is also significantly affected by the yield strain of steel εy/εc to the peak strain of unconfined concrete εc. A three-dimensional finite element model (FEM) was built for the simulation of the columns’ nonlinear behavior and was rigorously validated against experimental data. This model aids in the design and implementation of more efficient and resilient urban structures, supporting the principles of sustainable construction. The study underscores the importance of structural integrity in sustainable urban development and provides valuable insights for improving the design of green building materials.