The application of construction waste as an aggregate in subgrade backfilling is an important recycling option. This study analyzed a subgrade backfill material consisting of lime-fly ash construction waste mixture (LFCWM). Compaction and California bearing ratio (CBR) tests were performed on LFCWM under different cement-aggregate ratios (CARs, 3:7, 4:6, 5:5, 8:2). Different normal stresses (100, 200, and 300 kPa) and aggregate sizes (20%, 40%, 60%, 80% of P4.75) were also evaluated. The experimental results indicated that: (1) when the CAR was 4:6, the optimum water content and the maximum dry density reached their maximum values of 10.1% and 2.03 g/cm3, respectively, the maximum CBR value was 42.5%, and the shear strength reached its maximum value. (2) With an increase in shear displacement, the shear stress showed a rapid initial increase, then a slow decrease, and finally tended to stabilize. (3) Normal stress had a positive effect on the shear strength of the mixture. (4) When P4.75 was 40%, the shear strength of LFCWM was the maximum. The research results have been successfully applied to road engineering, providing an important reference for the application of construction waste aggregate in roadbed engineering.