This paper proposes a new conceptual approach to the development and utilization of youth-led environmental assessments to inform the planning of youth-enabling environments. Interdisciplinary research has established the influential effects of the physical environment on children and adolescents' well-being and development, yet there is a gap in our understanding of how to create everyday environments for youth that speak to their needs and interests and provide opportunities for them to flourish. Engaging youth through participatory action research to both develop and conduct environmental assessments can have positive implications for youth empowerment and well-being while also altering research and planning practices to effectively integrate youth voice. The proposed approach integrates elements from affordance theory, the Capability Approach, and positive youth development within a youth participatory action research framework to create a process that encourages capability formation, fosters positive development, and improves our understanding of what constitutes a youth-enabling environment.