The incorporation of nondestructive and cost-effective tools in genetic drought studies in combination with reliable indirect screening criteria that exhibit high heritability and genetic correlations will be critical for addressing the water deficit challenges of the agricultural sector under arid conditions and ensuring the success of genotype development. In this study, the proximal spectral reflectance data were exploited to assess three destructive agronomic parameters [dry weight (DW) and water content (WC) of the aboveground biomass and grain yield (GY)] in 30 recombinant F7 and F8 inbred lines (RILs) growing under full (FL) and limited (LM) irrigation regimes. The utility of different groups of spectral reflectance indices (SRIs) as an indirect assessment tool was tested based on heritability and genetic correlations. The performance of the SRIs and different models of partial least squares regression (PLSR) and stepwise multiple linear regression (SMLR) in estimating the destructive parameters was considered. Generally, all groups of SRIs, as well as different models of PLSR and SMLR, generated better estimations for destructive parameters under LM and combined FL+LM than under FL. Even though most of the SRIs exhibited a low association with destructive parameters under FL, they exhibited moderate to high genetic correlations and also had high heritability. The SRIs based on near-infrared (NIR)/visible (VIS) and NIR/NIR, especially those developed in this study, spectral band intervals extracted within VIS, red edge, and NIR spectral range, or individual effective wavelengths relevant to green, red, red edge, and middle NIR spectral region, were found to be more effective in estimating the destructive parameters under all conditions. Five models of SMLR and PLSR for each condition explained most of the variation in the three destructive parameters among genotypes. These models explained 42% to 46%, 19% to 30%, and 39% to 46% of the variation in DW, WC, and GY among genotypes under FL, 69% to 72%, 59% to 61%, and 77% to 81% under LM, and 71% to 75%, 61% to 71%, and 74% to 78% under FL+LM, respectively. Overall, these results confirmed that application of hyperspectral reflectance sensing in breeding programs is not only important for evaluating a sufficient number of genotypes in an expeditious and cost-effective manner but also could be exploited to develop indirect breeding traits that aid in accelerating the development of genotypes for application under adverse environmental conditions.