Global metropolises are engaged in an intense competition to attract creative capital, high-profile events, innovative industries, and greater shares of global wealth and markets. Achieving this objective hinges on redefining their competitive advantages and enhancing their international standing. In this context, urban ranking—despite its generalized and homogenizing perspective that often overlooks local diversity and differences—has become a core agenda for metropolitan policymakers and development authorities, aligning with the paradigm of comparative urbanism. This study aims to design a comprehensive and participatory composite index for assessing urban progress in Iran—referred to as the Integrated Urban Progress Index (IUPI)—by integrating internationally recognized indicators with localized principles and values. The evaluation is conducted using the TOPSIS multi-criteria decision-making method. The proposed index encompasses six key dimensions: Economic Efficiency and Competitiveness, Environmental Sustainability, Urban Vitality, Well-being, and Satisfaction, Smartness, Innovation, and Entrepreneurship, Interaction, Connectivity, and Communications and Urban Governance. These dimensions are operationalized through 18 criteria and 83 measurable indicators. As a result, Tehran ranked first, followed by Isfahan, Mashhad, and Shiraz. The most influential criteria contributing to these rankings were, in order: Urban Economic Efficiency and Competitiveness, Urban Innovation and Entrepreneurship, Interaction, Connectivity, and Interoperability and Urban Livability, Satisfaction, and Well-being. Conversely, the criteria in which Tehran scored relatively lower included Urban Environmental Sustainability—ranking fifth among metropolises—and Urban Governance—where it ranked fourth.