Odisha is well known for its rich historical sites, ancient temple, culture heritage and for its tourism, not only for its sociocultural sites but also Odisha is renowned for its vulnerable climatic changes. Sustainable urban regeneration of Odisha is a well-organized plan to develop the social, cultural, environmental and economic sustainability. But the sustainable regeneration plan will face a number of challenges. In this paper, we have taken a number of questionnaires to set the initial decision matrix. We have used the OCRA method to analyze and rank the most important challenges for urban development. In conclusion, we can say that if the challenges are not been solved, the urban regeneration plan of Odisha may fail. Hence, prioritizing the sustainability issue is crucial for addressing the issues and enhancing the quality of urban life.