This article is a research output presenting a new step for urban tourism development in Thailand. It focused on how a urban tourism development action plan was made in accordance with the sustainable tourism development policy in Thailand, and the overall effect of urban tourism development plan-making practice on the environment, quality society, local economics, and urban history and culture. This article proposed a holistic conceptual framework of urban tourism development plan-making practices regarding sustainability. It began with a literature review of urban tourism development and stakeholders in urban tourism development planning. The author emphasized the presentation of the outcome from quantitative and qualitative investigations of urban tourism in Chiang Mai and Phuket, two cities, in a case study of Thailand. The result highlighted the capacity of the area and the urgent need, in a five year period, to develop urban tourism towards sustainability by focusing on the fundamental problems of urban development and urban tourism development, as well as the integration of sustainable policies and the stakeholders’ participation in urban tourism development planning. For this reason, a possible sustainable urban tourism development plan-driving framework has been proposed to encourage the existing participation of stakeholders for future research development.