The generation and dispose of solid wastes are becoming the problems facing both in developing and developed countries. The rapid growth of population and urbanization are connected with high discharge of solid wastes in which the management of solid waste becomes the challenging tasks both at the emerging and mega cities of Ethiopia. This calls the selection of appropriate waste disposal site by considering both the socio-spatial and environmental factors. Thus, the main objective of this research is to assess the potential suitable solid waste disposal site by customizing the major determinant factors using integrated multi-parametric AHP and GIS techniques. It also assesse to what extent the existing solid waste dumping sites affect the environmental and socio-economic phenomenon in Gish Abay Town, Ethiopia. The study used both spatial and socio-economic primary and secondary data. Primary socio-economic data were collected through survey questionnaires, focus group discussion (FGDs) and key informant interviews (KIIs).The socio-economic empirical data were analyzed using descriptive statistics whereas; qualitative data were analyzed in a content-wise. The spatial data were analyzed using spatial data analysis software. The study result shows that the current waste disposal practices and the existing disposal sites create social and environmental problems. This is because the existing disposal sites are located randomly without any characterization of the socio-economic and environmental parameters. Of the entire study area only 1.13% is highly suitable, 4.88% of the area is moderately suitable, 1.95% is less suitable and that of 91.34% of study is not suitable for solid waste dumping site. Of the suitable areas, the two sites namely ‘Ganua’ with areal area coverage of 12.84ha and ‘Gerelta’ area coverage of 1.89ha are the first and the seconded potential suitable solid waste disposal site respectively. As a conclusion, this research suggests the reconsideration and relocation of the existing solid waste disposal sites by adopting the proposed potential suitable areas for the sustainability of the town development.