The objective of this study was to assess the local environmental impacts of the disastrous heat wave (HW) episode of 2023 that affected Indian region during April to June months, using remote sensing (RS)-based high resolution datasets. The Summer 2023 HW caused severe vegetation stress and soil water stress in the cropped lands in our study area lying in the state of Odisha in India. This work employed different RS satellite datasets to identify areas that are vulnerable to heat stress, by analyzing the fluctuations in Heat Index (HI), vegetation health/vigor, and surface soil moisture levels during this period. In this regard, two popular spectral indices: the Enhanced Vegetative Index (EVI) and the Normalized Difference Vegetation Index (NDVI) were adopted to assess impacts of HW on vegetation stress. The findings confirmed that in the study area, notably higher HI were seen in HW days when compared to normal days. Cultivated areas have experienced a significant decline in soil moisture content and vegetation health during HW, that may cause a detrimental impact on the overall crop productivity of the region. Analysis of vegetation condition of the study area during the HW days can further aid the different efforts for adaptation to heat stress in the future years.