The thesis, titled "Development of an Integrated Navigation System for Urban Drone Delivery," explores the creation of an autonomous drone delivery system tailored for urban settings. It addresses the shortcomings of traditional delivery methods and advocates for the use of drones in urban delivery. The proposed solution centers around an integrated navigation system in the Simulation In The Loop employing technologies such as the drone autopilot, simulation software, ground control station (GCS), and the robot operating system (ROS) framework. The experimental setup encompasses various components, including Ubuntu installation, catkin workspace, python virtual environment, PX4 firmware configuration, Gazebo simulation, QGroundControl setup, and ROS integration. The experimental results highlight the system's efficacy in areas like connection and communication status, manual control, autonomous takeoff and landing missions, path planning, and autonomous mission following. Then, the thesis concludes by discussing these findings and speculating on the potential impact of the autonomous drone delivery system on urban logistics.