Bali is well known as the Island of Paradise on earth. Its unique landscape and cultural practices attract large number of tourists from all over the world. Bali's cultural heritage is the main attraction for tourists and tourism is the main source of the local economy. Population growth in Bali due to tourism and migration is undeniable and it has led to several new developments in Denpasar city to accommodate the growth. New developments have noticeably transformed the identity of Denpasar. Urban development strategies, in general, do not necessarily take into account urban character and identity. Urban character and identity is important because it adds to the strength of the city and differentiates it from others. This paper brings out the significance of cultural heritage as an important planning element to preserve the character and identity of Denpasar. The planning aspiration of Denpasar city “Denpasar is a Cultural City based on the harmony between God, Human and the Nature” which has come about in recent years after the population boom. Nevertheless, lack of guidelines about appropriate policies suggest that current policies are not effective in tackling the ongoing multi-layered threats of urban development on cultural heritage conservation. This paper seeks to identify suitable conservation strategies for Denpasar. This paper uses descriptive analysis to gain knowledge from place and its community. NVivo 10 software helps to capture views and perspectives about the importance of cultural heritage and evolve strategies to retain the cultural identity and heritage of Denpasar through the interview of various heads of local communities in Denpasar. It concludes with ways of conserving cultural heritage and how it could improve planning and development policies of Denpasar.