This research investigates the intricate relationship between urbanization and regional development, providing insights into strategies for sustainable city planning and management. With the unprecedented global trend towards urbanization, understanding its impact on regional prosperity is of paramount importance. This study employs a mixed-methods approach, combining extensive literature review, data analysis, and bibliographic analysis to shed light on the dynamics of urban and regional growth. Our findings reveal that urbanization, when approached with sustainability in mind, can serve as a catalyst for regional rejuvenation. Through in-depth case studies from diverse global regions, we identify best practices and lessons learned in sustainable city planning and management. By leveraging smart urbanization strategies, such as efficient infrastructure development and eco-friendly policies, cities can become drivers of regional progress. The main conclusions drawn from this research underscore the need for integrated planning, collaboration among stakeholders, and a commitment to environmentally responsible practices. Additionally, we emphasize the importance of leveraging cultural heritage and tourism as tools for regional development in the context of urbanization.