The rapid development all over India is resulting in the use of every available land for the construction of buildings. Hilly areas of north India are experiencing rapid development in multi-storeyed buildings in spite of the unsuitability of these slopes. Construction of these buildings results in increased shear force on the hilly slopes, making these more unstable in cases where shear stress exceeds the shear strength of the soil. In this study, an effort is made to study the effects of foundation loads on the slope stability. For that, a laboratory model is prepared where the slope is modeled in a glass box of dimensions 60 cm × 39 cm × 30 cm and building loads are applied with the help of concrete blocks. The slope is modeled by using a soil sample obtained from Sumari Village, which is located near Srinagar, Garhwal, Uttarakhand. The analysis is focused on the exploration of the effects of variation of water content and slope angles (30°, 45°, and 60°) on the stability of the slope. It is observed that an increase in the water content increases the slope stability even beyond the OMC of the soil till the shrinkage limit. A FEM model of the same slope is developed in PLAXIS 3D and the results are validated with laboratory model. Further, granular anchor piles (GAP) are utilized to reinforce the modelled slope in order to study its influence on slope stability. The effect of GAP orientation is also explored in the simulated model. It is observed that the horizontal orientation of GAP can provide anchorage to the structure, leading to an increased factor of safety (FOS).