Research on urban mountain settlements is based on a multidisciplinary analysis of physical-geographical and socio-economic factors. The focus is on environmental quality indicators of the examined area. Insight is provided into the structure and dynamics of ecosystems, as well as the impact of anthropogenic activities on natural resources. By researching the urbanization processes of the settlements, a correlation has been established between complex spatial-functional connections, phenomena, and processes that highlight the importance of sustainable development in the mountain areas of Serbia. Identified changes in land use and the increase in average annual temperatures indicate permanent oscillations in the water regime, soil erosion, and more. The geospatial transformation of areas in settlements like Divčibare highlights the complexity of changes and the need for sustainable spatial planning.