Recycling, resource recovery, circular economy, and industrial symbiosis influence innovative and sustainable design approaches. As an emerging field, social design emphasises rethinking waste materials as valuable resources while fostering interconnected systems that optimise material use. By integrating these strategies, designers address both environmental challenges and social impact. An example is a university-led research project in collaboration with a social network city in Porto, Portugal. Design students partnered with a Youth centre, supporting boys aged 14–23, to revitalise 1000 m2 of underutilised outdoor space. The project focused on transforming post-industrial waste into functional artefacts, applying principles of circular economy and waste transformation. Students implemented recycling and material recovery strategies to mitigate environmental degradation. Aligned with industrial symbiosis, waste from one activity was repurposed as inputs for another, creating furniture and recreational installations that combined aesthetic appeal with functionality in a closed-loop system. Active involvement of the Youth centre inhabitants illustrated industrial symbiosis in practice, while raising awareness of the environmental and community benefits of waste recovery. Over four months, the redesigned space showcased how collaboration with northern Portugal’s industry, combined with circular economy concepts, can form the basis of sustainable design solutions. This project demonstrates the critical role of circular economy frameworks and resource recovery in fostering sustainable and socially responsible design. It highlights how industrial cooperation and systemic thinking can reduce waste, support environmental responsibility, and strengthen community engagement, offering a replicable model for future design interventions.