Where to Stay in Melbourne → 7 Best Areas + Hotels for 2024

The cultural capital of Australia is a top destination for travelers to the continent, but where to stay in Melbourne? Luckily, my home city offers countless areas and accommodation options to travelers of all ages and budgets!

The CBD (Central Business District), is the best area to stay if you are visiting for the first time because it’s the main Melbourne hub. There are 7 best areas overall which I recommend for you to stay in and I list hotels in each. 

I have gone through literally every hotel in the city to include only the best rated ones for you. Worry not, this way you will be able to book your ideal accommodation in the price range you are looking for in a couple of minutes!

Regardless of which accommodation you pick, remember that there’s always something happening in Melbourne, so you should most definitely book in advance! 

If you’re in a hurry…

Need to make a quick decision and book immediately? Check out this list of the best hotels in the CBD. 

• Best luxury hotel – Qt Melbourne
• Best mid-range hotel – Mantra on Russell
• Best budget hotel – Victoria Hotel Melbourne

Watch my video, it will give you a visual explanation of all the areas:

Look at this Melbourne neighborhood map to visualize the city and choose where to stay!

1. The CBD (Central Business District) – for first timers
2. Fitzroy – nightlife
3. St Kilda – budget
4. Richmond – for sport fans
5. Southbank & Docklands – for couples
6. South Yarra – for shopping
7. South Melbourne – for families

1. The CBD – where to stay in Melbourne for the first time

The CBD is the heart of Melbourne, so it’s well-connected to the rest of the city. You’ll find many bars, restaurants, museums, and significant landmarks here, so it’s the best place to stay to see and experience the city in all its glory. 

When in the CBD, don’t miss out on St Paul’s Cathedral and its marvelous architecture, which is very close to the famous Flinders St Station. A little further down the road, you’ll stumble onto the Nicholas Building – a heritage building full of galleries, shops, designers, and jewelers!

In Chinatown Melbourne see some historic buildings and try authentic Chinese cuisine, and feel like a local at Queen Victoria Market! You can buy fresh produce, tasty street food, clothes, and souvenirs here.

The Bourke Street Mall is another attraction in the area, and the Fitzroy and Treasury Gardens. 

If you can’t find anything in the CBD, do check East Melbourne as weel -mit is a tiny neighborhood pretty much attached to the CBD and surrounded by nice parks. 

Luxury (US$200 and up)

• Qt Melbourne – have a drink at their wonderful rooftop terrace and enjoy views of the city, or retreat in your room and enjoy the modern amenities.
• Grand Hyatt Melbourne – the hotel offers premium suites and luxury suites, an upscale on-site restaurant, bar, sauna, indoor pool, and even a tennis court. 

Mid-range (US$130 – US$200)

• Novotel Melbourne Central – one of the best boutique hotels in Melbourne, offering amazing views, a restaurant serving a buffet breakfast and creative Australian dinners, as well as concierge services. 
• Mantra on Russell – even though I am from Melbourne, I have actually stayed here! I recommend you take a day off sightseeing and enjoy their swimming pool, spa, and sauna! 

Budget (up to US$130)

• Victoria Hotel Melbourne – the hotel’s standout feature is the library, but there’s also a restaurant, a bar, a conference center, and an indoor pool.
• Pegasus Apart’Hotel – as an aparthotel, Pegasus offers bright and spacious rooms, each with a kitchenette and a private bathroom, as well as an LCD TV with digital channels.

2. Fitzroy – where to stay in Melbourne for nightlife

Welcome to the coolest area in one of the coolest cities in the world (if I do say so myself)! Near the city center, the Fitzroy neighborhood in northeast Melbourne is a magnet for hipsters and party animals.

In the area, you’ll find the biggest concentration of artists, hipsters, trendsetters, creatives… and even more galleries, independent boutiques, vintage stores, and eclectic bookstores, creating a bohemian and lively vibe!

If you want to party, I would recommend starting with the pubs! The Standard Hotel pub is a great place to start, with a unique interior and delicious food and drink! But you also have to visit Marquis of Lorne, a historic pub that’s been in the same location for more than 150 years!

FUN FACT: Fitzroy was once the most dangerous part of Melbourne, home to gangs, thieves, and murderers, but it is completely safe now!

Since Fitzroy is a popular tourist destination, there’s a good hotel selection in the area:

Luxury (US$180 and up)

• Lambeth Terrace Fitzroy – while you’re a guest here, you’ll have the entire house to yourself, including the quaint garden, the library, and comfortable bedrooms.
• District Fitzroy – bright and spacious apartments with all necessary amenities, conveniently located near Fitzroy’s bustling party scene. 

Mid-range (US$100 – US$180)

• Tyrian Serviced Apartments Fitzroy – stylish apartments featuring air conditioning, a fully equipped kitchen, and a private bathroom right in the heart of Fitzroy. 
• Comfort Apartments Royal Gardens – ideal for guests looking for spacious self-catering accommodations in a peaceful garden setting, particularly suited for a couple’s getaway

Budget (up to US$100)

• Melbourne Metropole Central – as a guest, you get access to free in-room Wi-Fi, a 24-hour gym, a swimming pool, a terrace, and a garden.

3. St Kilda – where to stay in Melbourne on a budget

What people associate with this area is St Kilda Beach, Melbourne’s most beloved beach. Recognized for its white sandy strips and gorgeous views of Port Phillip, it’s the perfect spot for swimming, sunbathing, and water sports!

The most popular activity in St Kilda is definitely watching the sunset from the beach – the experience is unparalleled! 

St Kilda is also home to one of Melbourne’s most famous attractions, Luna Park, a historic amusement park boasting the 2nd oldest functioning rollercoaster in the world (it’s wooden and fences the park)! 

To get the most out of St Kilda, you should definitely visit the Jewish Museum of Australia and attend an event at the Palais Theater. For a more relaxed day out and about, spend a few hours walking around the St Kilda Botanical Gardens. 

Please note that St Kilda also has a so-called ‘red light district’. If you are traveling with kids, it might make sense to check that there are no inappropriate “venues” around. 

Luxury (US$150 and up)

• St Kilda Beachfront Penthouse – the apartment is recognizable for its modern and sleek design but also offers amenities such as air conditioning and free private parking, but most importantly, it boasts an ocean view.
• The Prince – this property stands out among other boutique hotels with quality dining; there are 3 on-site restaurants, and guests can order room service!

Mid-range (US$100 – US$150)

• Art Series – be ready to fall in love with this 5-star St Kilda hotel, featuring trendy rooms with ultra-modern design, a fully contained kitchenette, and a wide variety of drinking and dining options!
• Selina St Kilda – choose between private rooms and shared dormitories, enjoy the continental breakfast, and turn to the 24-hour desk for everything else.

Budget (up to US$100)

• Cosmopolitan Hotel – the hotel offers bike rentals, but if all you want to do is relax, you can lounge on the terrace or rest in your cozy room.
• Tolarno Hotel – the smoke-free premises offer concierge services, luggage storage, and fine dining at the French cuisine restaurant Bergerac at Tolarno.

4. Richmond – the best area for sports fans

Sports enthusiasts will love Richmond for the world-famous Melbourne Cricket Ground (MCG), Melbourne Park (home of the Australian Open Tennis Tournament), and AAMI Park (for rugby union, rugby league, and soccer). 

Yep, Melbourne is the sports capital of Australia! I have worked at all the major sporting events over the years, and I can assure you the atmosphere at any match/game/tournament you attend will be amongst the best you have ever experienced! 

If you don’t have the opportunity to catch a game, you can still head in the direction of East Melbourne and get a guided tour of the Melbourne Cricket Ground and explore the Australian Sports Museum. After you’re done exploring, stop by The Demon Shop and get some sports attire!

Other ways to spend time in Richmond include walking around the Barkly Gardens, watching a movie at the HOYTS Victoria Gardens theater, or hiking the Main Yarra Trail (see trail map). 

Luxury (US$150 and up)

• The Motley Hotel – a 5-star hotel offering affordable accommodation, with an on-site restaurant and bar. Guests can order room service or ask the 24-hour desk to help with anything else!
• Amora Hotel Riverwalk – situated on the bank of the Yarra River, the Amora has deluxe rooms, spa suites, and townhouse apartments and offers authentic Australian cuisine in The Reserve Restaurant.

Mid-range (US$100 – US$150)

• Lanbruk Richmond Hill – tastefully decorated, minimalistic apartments located right next to the hospital and just a few steps away from the closest tram stop. Plus, it has all the facilities necessary for you to feel at home!
• The Richmond Cottage – a lux vacation home with air conditioning, a fully equipped kitchen, and direct access to a terrace. Plus, pets are welcome at no additional charge!

Budget (up to US$100)

• Adara Richmond – this hotel will provide comfortable beds, clean and comfy linens, cable TV, and access to laundry facilities. Guests can also use the fully equipped fitness center. 
• Element Melbourne Richmond – you’ll gain access to free bikes, private parking, a bar, and a shared lounge. Other perks? You can use the services like concierge, currency exchange, and luggage storage! 

5. Southbank & Docklands – best areas for couples

The Southbank and Docklands are 2 Melbourne neighborhoods on opposite sides of the Yarra River. 

Both of these areas are primarily residential and the perfect choice for a quiet romantic retreat; they’re safe, not too noisy, and provide an excellent range of leisure activities. 

The Melbourne Skydeck is a great place to visit with amazing views of the city (purchase tickets online to save)! Other Southbank attractions are the National Gallery of Victoria and the Australian Centre for Contemporary Art (ACCA). 

If you have the time, cross to the other side of the Yarra River into East Melbourne and snap photos of the amazing street art in Hosier Lane. 

Luxury (US$200 and up)

• The Langham Melbourne – the hotel stands out with its elegant decor, gorgeous chandeliers, fountains, and a marble staircase. The rooms are spacious and comfortable, and there’s an indoor pool to go for a romantic swim.
• Crown Towers Melbourne – enjoy 5-star luxury and breathtaking views of the city from the floor-to-ceiling windows. You can relax in the heated indoor pool, steam room, and on the sun terraces. 

Mid-range (US$130 – US$200)

• Pan Pacific Melbourne – a favorite amongst the Melbourne boutique hotels, the Pan Pacific offers a superb stay for an affordable price. You can order in-room dining at any time of the day or night!
• Saint Domain – the rooms in this 4-star aparthotel come with fully equipped kitchens, a dining area, and a washer/dryer. Guests can use dry cleaning services and free Wi-Fi. 

Budget (up to US$130)

• Imagine Marco – a budget, smoke-free aparthotel that offers some luxurious facilities, such as an outdoor pool, fitness center, and theater room. Self-parking is also available. 
• Ink Hotel Melbourne – a restaurant and a bar are operating on the hotel premises, and services include baggage storage and a 24-hour front desk. The rooms are clean, comfortable, and air-conditioned. 

6. South Yarra – best place for shopping in Melbourne

South Yarra is a well-known inner-city suburb of Melbourne and is particularly popular for shopping. Chapel St is the main shopping hub, and here you’ll find The Como Centre, Colonnade, and Big W South Yarra – the most attractive shopping centers in the area. 

The Chapel Off Chapel theater hosts many live shows and events, so get tickets and spend an evening there. If you’re more of a movie buff, catch a showing at the Palace Cinema Como. If possible, go on Tuesday, or as they call it, ‘Cheap Tuesday’ and get a bargain on your tickets!

 The Como House & Garden is the main historical attraction in the area, and it’s most certainly worth a visit. 

And if you want to chill out in a relaxed atmosphere after a long day of shopping in South Yarra, I highly recommend Leonards House Of Love (map); the place is extremely cozy and serves amazing original cocktails. Better yet, you don’t need a reservation – it’s walk-ins only!

Luxury (US$180 and up)

• Ovolo South Yarra – a 4-star accommodation with concierge services, room service, and a 24-hour front desk. Guests can use the on-site bar and the fully-equipped fitness center. A good continental breakfast is provided every morning.
• The Como Melbourne – MGallery – there’s both an indoor and an outdoor pool at this lux hotel, spa facilities, 2 on-site restaurants, and even a convenience store. The rooms are stylish and spacious and offer top-notch commodities.

Mid-range (US$100 – US$180)

• Oaks Melbourne – each apartment has a private balcony offering city views, but you can also use the shared rooftop terrace. All apartments are non-smoking, and there’s a living room with a flat-screen TV, plus laundry services.
• District South Yarra – these apartments are self-contained; each has a seating area, a kitchen, a private bathroom, and a balcony. There’s high-speed Internet everywhere on the property, and private parking is available as well.

Budget (up to US$100)

• Toorak Manor Hotel – one of the nicest boutique hotels in the area, Toorak Manor offers tastefully decorated rooms, access to a shared lounge, and a delicious breakfast in a communal dining room. 
• Davis Avenue Apartments – conveniently located near South Yarra Train Station, the apartments are spacious and bright and boast unique decor. They have all the commodities of a home, so they’re perfect for a family stay.

7. South Melbourne & Port Melbourne – for family stays

South Melbourne, just like Port Melbourne, is an inner-city suburb; both of these suburbs are surrounded by the Yarra River and face Hobsons Bay. Plus, they have that chill Sunday vibe, making them perfect for a family holiday. 

South Melbourne is a great place to enjoy the panoramic views of the city’s skyline. But while you’re here, stop by the traditional South Melbourne Market and visit the St Vincent Gardens. To add a little adventure for the kids, take the Puffing Billy tour and secure all-day fun!

A little further south, you’ll find the famous Albert Park. The main point of interest in the park is the lake, so you can have a picnic by the water or just walk around the park. The park is also home to the Albert Park Grand Prix Circuit, so you may even catch an F1 race on the weekends.

Melbourne was voted the ‘most livable’ city in Australia and the 3rd most livable city in the world, trailing behind Vienna and Copenhagen.

In Port Melbourne, you can have an amazing time at the beach; you can either head to Sandridge Beach or decide on the eponymous Port Melbourne Beach. If you’re not into swimming/sunbathing, you can admire the ocean views from Princes Pier and the Sandridge Lookout (map).

Luxury (US$170 and up)

• Bayside Melbourne Apartment – a spacious apartment that can accommodate up to 5 people so the whole family can stay together. Towels and linens are provided, and the dishwasher is a great help!
• The Hamptons Apartments – comfortable apartments of all sizes so that they can accommodate all types of families. All units have kitchens, private bathrooms, and flat-screen TVs. There’s also a shared terrace and BBQ facilities.

Mid-range (US$130 – US$170)

• Coppersmith Hotel – you can choose what kind of breakfast you have every day, while for dinner, you can order from the restaurant’s gourmet menu. The hotel provides a crib free of charge, while an additional kid’s bed costs US$20.
• Beachside Sunshine Lifestyle – an entire apartment with two bedrooms (one with a queen-sized bed and another with 2 twin beds), a dedicated kitchen, and a spacious terrace. You can bring your pets on holiday, too!

Budget (from US$130)

• Clarendon Hotel Melbourne – all rooms have air-conditioning, free Wi-Fi, and private bathrooms. The restaurant, Clarendon Station, is family-friendly and serves lunch and dinner. 

👑 Luxury price:	US$220
💵 Mid-range:	US$150
🛏️ Budget:	US$100
📍 Best neighborhood:	CBD
🛎️ Best luxury hotel:	Qt Melbourne
🧳 Mid-range hotel:	Mantra on Russell
👛 Best budget hotel:	Victoria Hotel

FAQs about where to stay in Melbourne

Conclusion

After reading through my many recommendations, I hope that you have a good idea of where to stay in Melbourne. However, if you’re still undecided – that’s okay! Here are my 2 favorite Melbourne hotels:

• Grand Hyatt Melbourne – I love the hotel’s design, and appreciate the location – right in the heart of Melbourne CBD! 
• Novotel Melbourne Central – the rooms are spacious and modern, and I love that this boutique hotel offers great value for the price!

But bear in mind that a big event is almost always happening in Melbourne, so accommodation is in high demand. Make sure you book yours as soon as possible!

By the way, if you need help planning your trip, I recommend checking out our article about the 12 Best Things to Do in Melbourne, and here is all our content about Australia!

Let me know in the comments below if there are any other questions you might have, I am happy to help!

Happy travels,

Kate