Generally, the existence of soft soil in Indonesia will be a problem in the construction of highway construction. One factor that influences and needs to be known in road construction is the characteristics of the subgrade where the pavement construction will be placed on it. Poor soil characteristics can cause bumpy road surfaces, cracks, or other road damage. Therefore, before carrying out a soil improvement, it is necessary to know its characteristics through the physical and mechanical properties of the subgrade. This research was conducted in Lubuk Bayas Village, Serdang Bedagai Regency, North Sumatra Province. Tests of physical properties in this study include sieve analysis, water content, specific gravity, plasticity limit test, and liquid limit test. The soil shear strength test and California Bearing Ratio (CBR) test were carried out to test the mechanical properties using a Dynamic Cone Penetrometer (DCP). From the results of testing the physical properties of the soil, it was found that Samples 1, 2, and 3 were fine-grained soils with the percentage of soil passing the No.200 sieve greater than 50%. The USCS classification system shows that samples 1 and 2 of the soil are in the Lean Clay (CL) group, while sample 3 is in the Fat Clay (CH) group. Samples 1, 2, and 3 include soils with high plasticity because the PI value is >17. The results of testing the mechanical properties of the soil Sample 1 obtained the value of c = 0.1299 kg/cm2 and Ø = 13.2°, in Sample 2 obtained the value of c = 0.1075 kg/cm2 and the value of Ø = 11.2° and in Sample 3 obtained the value of c = 0.1275 kg/cm2 and the value of Ø = 11.9°. DCP testing on samples 1, 2 and 3 obtained CBR values of 5.35%, 4.73% and 3.15%. From the CBR results, it can be seen that the soil in this location has a low soil bearing capacity, so if it is to be used as a subgrade layer, it will be necessary to repair the soil first so that structural damage does not occur in the future. Soil improvement can be made by stabilizing the soil using natural materials to maintain environmental sustainability. Natural materials that can be used include sand with certain gradations, stone ash, palm shell ash, and various other natural materials.