In this study, water-blown biopolyurethane (BPU) foams based on palm oil were developed and cellulose nanocrystals (CNC) were incorporated to improve the mechanical properties of the foams. In addition, the foams were compared with petroleum polyurethane (PPU) foam. The foam properties and cellular morphology were characterized. The obtained results revealed that a low-density, semi-rigid BPU foam was prepared using a new formulation. CNC as an additive significantly improved the compressive strength from 54 to 117 kPa. Additionally, cyclic compression tests indicated that the addition of CNC increased the rigidity, leading to decreased deformation resilience. The dimensional stability of BPU foams was increased with increasing CNC concentration for both heating and freezing conditions.