The circular economy, a new paradigm of technological and economic development, is of great importance in developing countries, particularly in the construction sector, one of the most relevant in Colombia. In the Latin American context, Colombia has one of the most important construction industries, contributing to the social and productive development of the country. However, this sector is also responsible for serious environmental problems and social conflicts. Therefore, it is imperative to work with all actors of the value chain to transform the construction sector from a linear economy to a circular economy model. Therefore, this article describes the circular economy model proposed for Santiago de Cali, which is mainly oriented to the analysis and efficient use of construction materials, mostly taking into account the recovery of ecosystems and the circular flow of rocky materials. This model includes an analysis of the production of construction materials, construction process, use and operation, and completion of the life cycle of buildings and infrastructure. In particular, the model proposes an innovative product portfolio for the use of construction and demolition waste (C&DW) supported in applied research (case studies). The portfolio consists of family products, such as recycled aggregates or eco-aggregates, eco-concretes and mortars, eco-prefabricated products and modules, and smart construction materials. In addition, this model describes the C&DW management system and some characteristics of the Technological and Environmental Park (TEP), the main strategy for C&DW valorization in the city.