Ground response analysis (GRA) is used to assess the seismic damage experienced by the site by performing dynamic response of the site due to incoming ground motion. The present study is on GRA of Rajarhat region of Kolkata, which lies in Zone III as per IS seismic code, and it mainly consists of alluvial soil deposits. A subsurface profile of the region is characterized as a one-dimensional (1-D) profile using borehole data. The effective stress nonlinear response analysis (ES NLRA) is carried out along with the equivalent linear response analysis (ELRA). The total stress nonlinear response analysis (TS NLRA) is also carried out for the site. The results obtained from the ES NLRA are compared with those obtained from the TS NLRA and ELRA. A nonlinear soil model is used for modeling the soil profile and is coupled with a pore water pressure (PWP) generation model during the ES NLRA. The ES NLRA evaluates lesser peak ground acceleration (PGA) compared to that of the ELRA or TS NLRA. This is due to the occurrence of liquefaction of soil layers near to the ground surface. A very high amplification is observed in the higher period range (2–10 s) in the case of ES NLRA, indicating the seismic vulnerability of the built environment which has the structural period in that range. The study also considered the correction to the implied shear strength and friction angle to avoid unnecessary over/underestimation of the damping and stiffness of the soil at high strain. It is concluded that the ES NLRA is more effective in assessing the liquefaction potential of the site considering the local site effects. The spectrum compatible ground motions and response spectrum obtained from the ES NLRA are useful in seismic response analysis and design of future structures and facilities to be created in Kolkata city.