I believe the reason why it is encouraged to live close to nature, if possible, is so we can begin to see that we are a part of the laws of nature. Living here in the jungle provides us with a very good opportunity to observe some of these laws of nature, rather than trying to control them as people do in some urban settings. Rather than opening to the reality of the laws of nature some urban settings seem to want to control these forces of nature, until natural disasters such as storms, floods, etc. illustrate that this is often not possible.
By watching how creatures interact at the smallest level, such as the ants, other living beings, the falling of leaves, the decay, we see how nature works and the impermanence of things. If we are able to get beyond the pleasant surface and actually see more deeply into the impermanent nature of things, it helps us understand that we are a part of this. Sometimes in urban settings we can sometimes feel that we are not a part of nature and that we can control nature. But this is not true, we are interrelated and interdependent with nature.
We can't actually live without the Four Great Elements; earth, water, wind and fire. Sometimes in urban situations people develop the idea that they can live separate to and control these elements, but this is not so.
So usually when we're more connected with nature and not just in the sense of focusing only on it's beauty, we can penetrate more deeply into the law of nature and perhaps then we will be able to see that we are also part of this law, a part of nature.
One of the techniques the Buddha encourages a lot in the scriptures is to reflect externally and internally. What I mean by this is seeing externally the laws of impermanence, the impersonal nature of things, and then bringing it into ourselves, noting that we are also part of this, and then applying it to ourselves. In the Four Foundations of Mindfulness, the Satipattana Sutta, the Buddha instructs when we see a corpse to contemplate the dissolution of the corpse in various stages and then apply this understanding of impermanence, of this external sight to, "Verily, my own body is of the same nature". So whenever we see decay, impermanence and these types of manifestations externally, it is an opportunity for us to then understand that we are also part of it and not separate ourselves from it.
One of the biggest wrong views that many people have is that they are separate from everything else Even though other people are dying, other people are getting ill, many believe they are not subject to these laws. This is why when illness or decay does happen to many people there is surprise or shock, because they have made themselves separate from the laws of existence. This wrong view prevents Compassion and unselfish emotions from arising. They are not able to identify with other people's difficulties, because they have separated themselves from that.
With regard to practicing in urban settings one thing I try to do when I go to Bangkok and other similar places, is to focus on the people within the settings because they are human beings, there will be aging and disease, and human struggles. also understand the impermanence of these seemingly permanent structures because even in urban settings you can see impermanence, e.g. houses, pavement and buildings developing cracks, paint peeling, etc. By seeing these types of situations you're not closing yourself to the reality of impermanence even though they may seem so permanent at that time.