They hardly swim about. If you can sacrifice the water volume for their required deep sandbed, go for it. If you have a Biocube, go for it...
I can see it now... maybe use something like a short 6" pvc pipe filled with sand it can burrow and keep the rest of the bottom as a thin layer. then place rocks around to hide the pipe and make it natural looking. Add a weed-like coral like starpolyp and voila! a jawfish hobbit-esque-hole.