This research was conducted around the Code River, especially in Kotabaru village, Gondokusuman Subdistrict, Yogyakarta City. The purpose of this study is to examine the characteristics of urban settlements and analyze their quality. The data collection method was carried out by using the multistage random sampling method. This sampling technique was carried out in two stages, namely classifying and selecting samples randomly. Data processing was done by scoring method using Sturges’ rules. Quantitative data analysis was carried out using descriptive statistics, while qualitative data analysis was carried out by explaining the results of data processing in depth. The results showed that most of the houses had poor accessibility, poor physical building conditions, good environmental sanitation, and residential environment characteristics with moderate conditions. This study also found that the quality of settlements in the study area with poor, moderate, and good classes was 30.43%, 50%, 19.57%, respectively. Indicators that lead to poor quality of settlements include accessibility, number of health facilities, land area per person, distance of clean water sources from fecal dumps, road width, and tree cover.