This paper acknowledges the contemporary neoliberal mode of operation of Smart Cities. The pitfalls of Smart Cities concerning its propensity towards techno-centric and efficiency-focused governance are identified, with diminutive emphasis on social equity and human-centric urban growth. Thus, the paper elaborates upon an alternative mode of person-environment-interaction based approach towards placemaking: Empathic Cities. This approach implies embracing a shift from efficiency to sufficiency and wellbeing embedded regenerative perspective for conceiving the built environment. First, the variable dimensions of urban growth and governance, which gave rise to the smart city, are contextualized. The embedded neoliberal operational agenda of smart cities are established. On this basis, the underpinnings of an empathic city are established by acknowledging the shift from technocentric to human-centric and from product-based to context-based smart city and wellbeing perspectives. Strategies toward urban development are proposed, such as embracing a regenerative perspective wherein the city and its constituents need to be understood as interdependent systemic elements while embracing a human-centric and ethical approach. Additionally, a transition from efficiency to sufficiency-oriented practices and a shift towards inclusive modes of participatory governance are proposed as fundamental principles for an empathic future of the built environment.