Hotels are one of the primary tourism industries which have a major impact on the environment and society. The importance of this role makes hoteliers need to adopt sustainable tourism practices in their operations. This research aims to determine how far the implementation of sustainable tourism by hoteliers in Prawirotaman, as well as various challenges, faced. Three hotels that are considered representative are used as samples based on purposive sampling. Data collection was obtained from interviews, analysis of previous research work, and observations to be processed by qualitative methods. Fifteen sustainable tourism practices have been found. There is seven best practice that has been generally applied by hoteliers, they use eco-friendly building materials, energy-saving culture, green space and water bodies availability, recruit local people for jobs, buy from local suppliers, economic cooperation in services sectors with the local community, adoption of the local culture at the interior and exterior design. The main challenges in this practice are the problem of groundwater management and operational costs. Connecting with these problems, it is necessary to have the support and concrete action from the government, one of them is by repairing pipes of local water supply company (PDAM) to avoid the crisis of groundwater decline.