Despite growing recognition of the economic potential of heritage
sites, most prior studies have focused narrowly on tourism outcomes without
comprehensively evaluating how cultural heritage management affects broader
local economic development. Additionally, previous research often employs basic
analytical approaches and overlooks critical dimensions of sustainable heritage
management. This study addresses these gaps by examining the impact of
Sustainable Heritage Management (SHM) on Sustainable Local Economic Development
(SLED), focusing on Balekambang Park, a revitalized heritage site in Surakarta,
Indonesia. The research investigates how each dimension of SHM influences SLED,
both individually and collectively. The study adopts a quantitative approach using the Structural
Equation Modeling Partial Least Squares (SEM-PLS) method. Data were collected
from 289 respondents who had visited the site at least once in the last year,
using non-probability purposive sampling. The findings indicate that all
dimensions of SHM significantly influence SLED, with the environmental
dimension demonstrating the strongest effect, followed by the governance,
economic, and sociocultural aspects. These results highlight the strategic importance
of integrating environmental preservation and effective governance into
heritage site management to ensure long-term economic sustainability. This research novelty lies in its specific focus on Balekambang
Park as a unique case study, providing the first comprehensive, data driven
analysis of how multiple SHM dimensions collectively influence local economic
development using advanced structural modeling. It offers practical
implications for policymakers, local governments, and heritage site managers to
optimize heritage-based tourism development while maintaining cultural and
ecological integrity.