Numerical simulation of the non-linear behavior of (RC) structural walls subjected to severe earthquake ground motions requires a reliable modeling approach that includes important material characteristics and behavioral response features. The objective of this paper is to optimize a simplified method for the assessment of the seismic response and damage development analyses of an RC structural wall building using macro-element model. The first stage of this study investigates effectiveness and ability of the macro-element model in predicting the flexural nonlinear response of the specimen based on previous experimental test results conducted in UCLA. The sensitivity of the predicted wall responses to changes in model parameters is also assessed. The macro-element model is next used to examine the dynamic behavior of the structural wall building-all the way from elastic behavior to global instability, by applying an approximate Incremental Dynamic Analysis (IDA), based on Uncoupled Modal Response History Analysis (UMRHA), setting up nonlinear single degree of freedom systems. Finally, the identification of the global stiffness decrease as a function of a damage variable is carried out by means of this simplified methodology. Responses are compared at various locations on the structural wall by conducting static and dynamic pushover analyses for accurate estimation of seismic performance of the structure using macro-element model. Results obtained with the numerical model for rectangular wall cross sections compare favorably with experimental responses for flexural capacity, stiffness, and deformability. Overall, the model is qualified for safety assessment and design of earthquake resistant structures with structural walls.