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Best Areas to Stay in Melbourne: Top Districts and Hotels

Best Areas to Stay in Melbourne, Victoria
Best Areas to Stay in Melbourne, Victoria

Where to Stay in Melbourne – What You Need to Know

Pay no attention to what you heard in Sydney, Melbs has got a lot to offer!

Best areas to stay in Melbourne - Top districts and hotels
Best areas to stay in Melbourne – Top districts and hotels

The capital city of the Victoria state is the second most populated in Australia.

Located in the south of the country, Melbourne is a city with a singular beauty. It mixes the elegance of the great historical European capitals with its own down-under charm.

Melbourne combines majestically a fusion of Victorian and modern architecture, friendly locals and lots of things to see and do.

Being the only city in the world that hosts both Formula 1 races and one of the Grand Slam tennis tournaments, while also hosting lots of other international and local sporting events; Like the oldest surfing championship in the world or the footy and cricket championships, Melbourne is a very athletic city – and it shows on the locals’ passion for sports.

Melbourne is connected by trams and subways, so getting around town is not at all complicated. The dual tram and metro system reaches almost every corner of the city.

Melbourne is one of the most important tourist destinations in Australia and its international airport is one of the busiest in the continent, making the capital of Victoria an important point of access and connection in Oceania. See hotels in Melbourne.

When choosing where to stay in Melbourne, you must take into account two things; accommodation services and location.

Services are important because the weather is usually extreme, depending on the time of year it can get very cold or a really, really hot, and it is important to have a comfortable place to rest. Location is vital as it will give us access to all the tourist sites, daytime activities and Melbourne’s nightlife. Choosing the best area to stay in Melbourne is very important and here you can find a list of the best areas in the city to stay.

Accommodation Options in Melbourne

Hotels in Melbourne

The best hotels to stay in Melbourne

Hostels in Melbourne

Hostels and cheap stays in Melbourne

Apartments in Melbourne

Would you like independence? Book an apartment in Melbourne

Bed & Breakfast in Melbourne

Inns, B&Bs and guest houses in several areas around Melbourne


The best area to stay in Melbourne, Australia

1. Best area: Carlton, Fitzroy & Collingwood

They are not as central as the CBD, but they are the coolest areas to stay in Melbourne.

Located northeast of Melbourne’s business district, these three neighbourhoods show a friendlier face of Melbourne, different to the sometimes aseptic succession of glass skyscrapers that you can find in the CBD.

These three areas represent the most classic side of Melbourne; victorian architecture, low rises and houses with wrought-iron balconies.

We have grouped them together, but each has got its own essence.

Carlton is one of the poshest districts in Melbourne. A neighbourhood of a refined character, with wide tree-lined avenues and single-family, gardened houses. This area is also known as “Little Italy” as it was a favourite district of settlement for Italian immigrants. It is also known for being Melbourne’s SoHo; Carlton is packed with restaurants and bars.

Fitzroy represents the wild side of Melbourne, it is the creative, bohemian and hipster neighbourhood of the city. It has many alternative bars and restaurants and arguably the best nightlife in the city.

Collingwood is slightly quieter and less central than Fitzroy but shares that avant-garde casual character. It is also Melbourne’s main LGBT neighbourhood.

The three boroughs are connected by the city’s subway and tram system, the huge Melbourne Museum is also in this area.

Best suburbs to stay in Melbourne, Australia - Fitzroy
Best suburbs to stay in Melbourne, Australia – Fitzroy
Carlton, Fitzroy & Collingwood - Click to see all hotels on a map (opens in a new tab)
Carlton, Fitzroy & Collingwood – Click to see all hotels on a map (opens in a new tab)

What makes this the best area to stay in Melbourne

  • Victorian architecture
  • Best area for nightlife
  • Alternative vibe
  • Countless shopping options
  • Melbourne Museum
  • Great connections
  • Great for sightseeing
  • LGBT friendly

Hotels by area:

Hand-picked hotels in this area

  • Our Favourite

    Lovely Quest Carlton On Finlay is a luxury aparthotel with excellent quality, located in the heart of Little Italy. All apartments are equipped with kitchenette and offer great views.

  • Budget Option

    Budget-minded Baden Powell Hotel Collingwood is located in a building dating back to 1878, in the Collingwood district, east of the CBD. It has three bars and a restaurant.

  • Midrange Option

    Spacious Tribeca Serviced Apartments offer comfortable spaces and quality accommodation in the Collingwood neighborhood, next to a tram stop. They boast a balcony and equipped kitchenette.

  • Luxury Option

    Boutique District Apartments Fitzroy offer high quality accommodation in the Fitzroy neighborhood, one of the best areas to stay in Melbourne.


2. Melbourne CBD (Central Business District)

The CBD is the central district of Melbourne and, as the name implies, it is located in the geographical centre of the city.

Commonly referred to as “Central City” or “The City”, the CBD is the heart of Melbourne. This is the area where the city’s tallest financial office buildings and the main shopping areas are located.

Here, century-old commercial galleries with their unique architecture and local shops and bakeries lie side by side with world-renowned fashion boutiques and food chains like Starbucks or McDonalds.

Its two main streets, Collins and Bourke feature lots of shops, restaurants and bars and are an excellent place to stroll.

The main transportation hubs of the city, such as Central Station, Finders Street Station, Flagstaff Station and the main bus and train station, Southern Cross Station (terminus stop for the airport Skybus) are located within the CBD.

It is one of the top areas to stay in Melbourne as it has the widest variety of public transport service, while also being walking distance to many of the attractions. If you intend to visit the city and the surroundings without renting a car, this is probably the best district to stay.

Hotels in this area tend to be the most expensive in the city, with large international chains and business hotels around every corner. However, it is possible to find some bargains, especially in low season.

Best areas to stay in Melbourne - CBD
Best areas to stay in Melbourne – CBD
Melbourne CBD - Click to see all hotels in this area on a map (opens in new tab)
Melbourne CBD – Click to see all hotels in this area on a map (opens in new tab)

What makes this the best area to stay in Melbourne

  • City centre
  • Historical buildings
  • Skyscrapers and architecture
  • Riverwalk
  • Lots of shopping options
  • Great connections
  • Great for business travellers

Different areas of the CBD:

Hand-picked hotels in this area

  • Our Favourite

    Great Rendezvous Hotel Melbourne is a luxurious hotel housed in an emblematic building dating back to 1913. It is located at the heart of the CBD and enjoys spectacular views of Melbourne.

  • Budget Option

    The Great Southern Hotel Melbourne is a hotel located next to Southern Cross Station, which is probably the best area to stay in Melbourne. It offers excellent value for money.

  • Midrange Option

    The ibis Melbourne Hotel and Apartments is an excellent aparthotel located near the State Library of Victoria. It has excellent views of the CBD and good public transport connections.

  • Luxury Option

    The Hotel Windsor is an exquisite five-star, classic-style hotel housed in an 1883 building next to Victoria’s Parliament, in an elegant area east of the CBD. It has a gym.


3. Southbank

South of the CBD we find another of the most popular and busy neighborhoods in Melbourne, Southbank has good access to public transport, with 6 different lines of tram moving around the area, the West Gate Highway adjoins the south part of the district and offers quick access by car.

Southbank is home to the Eureka Tower, the highest in the city, second in Australia and one of the highest residential use towers on the planet.

But undoubtedly the most striking of this neighborhood is its river walk, one of the most beautiful places in Melbourne. The famous South Melbourne Market is located within easy reach.

This area also has attractions such as the Melbourne Exhibition Center or the Melbourne Casino entertainment complex.

Southbank is one of the most exclusive areas of the city, so the hotels and apartments here are usually luxurious and can be quite expensive.

Best districts to stay in Melbourne - Southbank
Best districts to stay in Melbourne – Southbank
Melbourne Southbank - Click to see all hotels on a map (opens in a new tab)
Melbourne Southbank – Click to see all hotels on a map (opens in a new tab)

What makes this the best area to stay in Melbourne

  • Very central
  • Eureka Tower
  • Casino complex
  • South Melbourne Market
  • Trade fair
  • Good transport connections
  • Great area for business and leisure

Hand-picked hotels in this area

  • Our Favourite

    The Travelodge Hotel Melbourne Southbank is a mid-range hotel in one of the best areas to stay in Melbourne. It is located next to the Eureka Tower. The rooms have a kitchenette and are a 6-minute walk from the river walk.


4. St Kilda

Located six kilometers southeast of downtown Melbourne, along the coast, this is one of the most dynamic and exciting neighborhoods of the city.

St Kilda has been many things since its inception; at first it was a recreation site for the wealthy, then it grew as a large red light district and today it is one of the most renowned alternative and bohemian neighborhoods in the world.

It is one of the most peculiar places of the city and contains great tourist attractions.

Among the attractions of this suburb are St Kilda Beach, South Australia’s most popular beach and venue for the great summer festivals, Acland Street which has some of the best restaurants in town and one of the oldest parks Themes of the world.

St.Kilda has one of the best public transport services, as it is connected by several tram lines. It is a relatively cheap area to stay, especially during the low season.

Best suburbs to stay in Melbourne - St Kilda
Best suburbs to stay in Melbourne – St Kilda
St Kilda - Click to see all hotels on a map (opens in a new tab)
St Kilda – Click to see all hotels on a map (opens in a new tab)

What makes this the best area to stay in Melbourne

  • Quiet suburb
  • Beaches
  • Charming streets
  • Sea promenade
  • Theme park
  • Good transport connections
  • Acland Street

Hand-picked hotels in this area

  • Our Favourite

    Lovely Novotel Melbourne St Kilda is located two minutes walk from the beach and five blocks from the iconic Acland Street in St Kilda, Melbourne. It also has a swimming pool, gym and parking.


5. Docklands

Just off the CBD you can find the Docklands area, Maelbourne’s old port district. Today it is a thriving neighborhood that attracts business giants and sports fans alike.

It is the district where you can find the Docklands Stadium (a.k.a. Etihad Stadium), one of the most important multifunctional stadiums in all of Australia. It serves as the headquarters for the AFL (Australian Football League, a local version of rugby) and it also hosts cricket and rugby matches, other special events and even concerts.

In Docklands you can also find the gigantic Melbourne Star Observation Wheel, a 120-metre-high Ferris wheel offering views of the city.

Docklands is an area with activity 24 hours a day and has one of the best night views of the city.

This is the best place to stay in Melbourne for sports fans and concert-goers.

Best districts to stay in Melbourne - Docklands
Best districts to stay in Melbourne – Docklands
Melbourne Docklands - Click to see all hotels on a map (opens in a new tab)
Melbourne Docklands – Click to see all hotels on a map (opens in a new tab)

What makes this the best area to stay in Melbourne

  • Very central
  • Modern architecture
  • Shopping and leisure areas
  • Melbourne Star
  • Etihad Stadium
  • Well-connected
  • Riverwalk

Hand-picked hotels in this area

  • Our Favourite

    The modern Four Points by Sheraton Melbourne Docklands is a fantastic luxury hotel with an outdoor pool. It has a modern and contemporary character. It is located in the heart of the Docklands district.


6. East Melbourne

Home to the Victoria State Parliament and one of the city’s oldest districts, East Melbourne hosts many of Melbourne’s government institutions and it is also packed with Victorian buildings.

It is a very convenient area to stay in the city, with good public transportation and beautiful architecture.

It is also a neighbourhood full of green areas and places for picnics on a spring day. The Yarra Park is popular all year round as it houses MCG, the city’s largest cricket stadium, home to a multitude of different sporting and entertainment events.

Where to stay in Melbourne - East Melbourne
Where to stay in Melbourne – East Melbourne
East Melbourne - Click to see all hotels on a map (opens in a new tab)
East Melbourne – Click to see all hotels on a map (opens in a new tab)

Hand-picked hotels in this area

  • Our Favourite

    The classy Magnolia Court Boutique Hotel is a small charming hotel located in one of the best neighborhoods to stay in Melbourne. It has a classic style and stately character.


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