Where to stay in Melbourne: the best areas, with a walk through each
6 areas compared. Watch the streets before you book.
Melbourne's compact grid of a city centre is surrounded by inner suburbs that each feel like a small town, with their own cafés, bars and shopping streets. Free trams in the CBD and a dense tram network beyond make it easy to explore without a car.
These are the six areas most visitors choose between, from the laneways of the CBD to the seaside at St Kilda. For each you'll find who it suits, who should look elsewhere, what is on foot, and a walk through its streets before you book.
The best areas to stay in Melbourne at a glance
| Area | Best for | Vibe | Getting around |
|---|---|---|---|
| Melbourne CBD | First-timers, Food, Transport links | Laneways, arcades, street art and coffee on every corner | Free tram zone covers the whole CBD |
| Southbank | Arts, River views, Families | A riverside promenade of arts venues, restaurants and towers | Walk over the river to Flinders Street station |
| Fitzroy | Young travellers, Nightlife, Vintage shopping | Bohemian streets, live music, street art and vintage shops | Trams on Brunswick Street; 10 minutes to the CBD |
| Carlton | Food lovers, Families, Culture | Little Italy's Lygon Street, gardens and a world heritage building | Trams on Swanston and Lygon streets; walk to the CBD |
| St Kilda | Beach lovers, Budget, Backpackers | A seaside suburb with a pier, cake shops and an old amusement park | Trams to the CBD in about 25 minutes |
| South Yarra & Prahran | Shopping, Couples, Elegant stays | Chapel Street boutiques, cocktail bars and leafy streets | Trains and trams to the CBD in about 10 minutes |
1.Melbourne CBD
- First-timers
- Food
- Transport links
Walk through Melbourne CBD: video by Melbourne Walks on YouTube.
The city centre's grid of streets hides a maze of laneways and Victorian arcades full of cafés, small bars and street art. Federation Square, the Queen Victoria Market and the main theatres are all within the free tram zone.
Stay here if
- It's your first visit and you want everything on foot or a free tram ride away
- You love coffee culture, laneway bars and food
- You want the widest choice of hotels
Skip it if
- You want a beach or a leafy residential feel
- Busy streets would bother you
Within a 10-minute walk
Hosier Lane · Degraves Street · Block Arcade · Federation Square · Queen Victoria Market · State Library Victoria
2.Southbank
- Arts
- River views
- Families
Walk through Southbank: video by Watch Us Relaxing on YouTube.
The south bank of the Yarra River, with a long promenade of restaurants, the Arts Centre, the National Gallery of Victoria and the Crown entertainment complex. Hotels here often have city and river views.
Stay here if
- Galleries, theatre and concerts are on your list
- You'd like river views and evening walks
- You want to be close to the CBD but a little calmer
Skip it if
- You want laneway character outside your door
- Casino crowds at night would bother you
Within a 10-minute walk
Southbank Promenade · National Gallery of Victoria · Arts Centre Melbourne · Crown Melbourne · Eureka Skydeck · Royal Botanic Gardens (a walk)
3.Fitzroy
- Young travellers
- Nightlife
- Vintage shopping
Walk through Fitzroy: video by 4KWalksAllOver on YouTube.
Melbourne's original bohemian suburb, with Brunswick Street and Gertrude Street full of vintage shops, cafés, bars, live music venues and street art. Neighbouring Collingwood adds more bars and breweries.
Stay here if
- You want a creative, alternative neighbourhood
- Live music and bars are a highlight
- You love vintage shopping and street art
Skip it if
- You want big hotels and lots of choice
- You need quiet nights
Within a 10-minute walk
Brunswick Street · Gertrude Street · Smith Street · Rose Street Artists' Market · Carlton Gardens · Collingwood bars
4.Carlton
- Food lovers
- Families
- Culture
Walk through Carlton: video by Roaming N Watching on YouTube.
A leafy inner suburb north of the CBD, home to Lygon Street, Melbourne's Little Italy, the University of Melbourne and the Carlton Gardens with the World Heritage-listed Royal Exhibition Building and Melbourne Museum.
Stay here if
- You love Italian food and café culture
- You're travelling with children: the museum and gardens are here
- You want a calm base within walking distance of the CBD
Skip it if
- You want nightlife on your doorstep
- You'd like the beach or river nearby
Within a 10-minute walk
Lygon Street · Carlton Gardens · Royal Exhibition Building · Melbourne Museum · University of Melbourne · Queen Victoria Market
5.St Kilda
- Beach lovers
- Budget
- Backpackers
Walk through St Kilda: video by VioletVik on YouTube.
Melbourne's best-known seaside suburb, with a beach, a long pier where little penguins come ashore at dusk, Luna Park, the cake shops of Acland Street and a lively bar scene. It's popular with backpackers and beach lovers.
Stay here if
- You want the beach and sunsets by the bay
- You're on a budget or travelling as a backpacker
- You'd like a lively, laid-back atmosphere
Skip it if
- You want the CBD on foot
- Some rough edges on Fitzroy Street at night would bother you
Within a 10-minute walk
St Kilda Beach · St Kilda Pier · Luna Park · Acland Street · Esplanade Market (Sundays) · Albert Park Lake
6.South Yarra & Prahran
- Shopping
- Couples
- Elegant stays
Walk through South Yarra & Prahran: video by William Walker さんぽ on YouTube.
Stylish inner suburbs along Chapel Street, Melbourne's longest shopping and nightlife strip, with designer boutiques, restaurants, cocktail bars and the Prahran Market. The Royal Botanic Gardens are close by.
Stay here if
- Shopping and stylish bars are priorities
- You want a smart, residential base close to the city
- You'd like the Botanic Gardens and the Yarra nearby
Skip it if
- You're on a tight budget
- You want a bohemian vibe
Within a 10-minute walk
Chapel Street · Prahran Market · Royal Botanic Gardens · Toorak Road · Como House · Fawkner Park
How to choose
For a first visit, the CBD or Southbank puts the laneways, galleries and river on foot. Fitzroy and Carlton offer a local feel and great food within walking distance of the city, St Kilda is for the beach, and South Yarra for shopping and stylish nights out.
Getting around
Trams are free inside the CBD, and a myki card covers trains, trams and buses beyond it. The SkyBus links the airport with Southern Cross station in the CBD.
Weather and events
Melbourne is known for having four seasons in one day, so pack layers. Big events like the Australian Open in January, the Grand Prix in March and the Melbourne Cup in November push hotel prices up.
Where to stay in Melbourne: common questions
What is the best area to stay in Melbourne for first-timers?
The CBD, where the laneways, arcades, Federation Square and the free tram zone put most of the city within easy reach.
Is St Kilda a good place to stay?
Yes, if you want the beach and a relaxed atmosphere. It's about 25 minutes by tram to the CBD.
Where should families stay in Melbourne?
Southbank, close to the galleries and river, or Carlton, next to the Melbourne Museum and Carlton Gardens.
Which Melbourne neighbourhood is best for nightlife?
Fitzroy and Collingwood for live music and bars, the CBD for laneway bars, and South Yarra for cocktail bars and clubs.
Do I need a car in Melbourne?
No. Trams, trains and walking cover all the areas in this guide, and trams are free in the city centre.
Areas change over time. Check recent reviews and the exact location of your hotel before you book. Hotel links may earn Walking Atlas a small commission at no extra cost to you.
Keep exploring Melbourne
The Melbourne city guide has more 4K walking videos, top sights, food markets and dishes to try.
Melbourne city guide →

