Top Notch Luxury Hotels for an Australian Vacation

To have a great vacation takes a lot of planning. After searching for attractions to visit, sights to see, cars to rent and planes to catch, there’s not much energy left for choosing hotels. For Americans who are first-time visitors to Australia, the task may be even more daunting, because often the hotels are individually owned and part of a chain of Southeast Asia/Pacific companies not familiar to us.

If you’re looking for a memorable vacation to the major tourist sites in Sydney, Melbourne and the Great Barrier Reef (Cairns), we’ve put together a curated list of luxury and unique hotels that guarantee to be as memorable as spotting your first kangaroo in the wild.

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Sydney

The majority of travelers from overseas arrive in Sydney. Most of the hotels are located in the Central Business District (CBD) or across the Sydney Harbour in North Sydney.

Most Memorable Hotel: Wildlife Retreat at Taronga

While “glamping” has become a commonplace occurrence for overnight stays at zoos all over the world, the Wildlife Retreat at Taronga at the Taronga Zoo in Sydney is nothing like sleeping overnight in a covered tent within earshot of lions and tigers. Rather, the Wildlife Retreat at Taronga is an amazing first-class, eco-luxe hotel built within the zoo grounds. From the huge semi-circular lobby called the Nest to each of the 62 rooms spread across five “lodges” or wings, this is a hotel built and fawned over by animal lovers.

While there certainly are more luxurious accommodations to be found in Sydney, no hotel rivals the Wildlife Retreat in giving the visitor an opportunity to immerse oneself in a wildlife setting where one can see koalas out their windows and wake up to the sound of birds flying in and around the zoo.

With a hefty price for a one-night stay from $500 to $800, this is a hotel where most people stay for one night. You can read my full review of the Wildlife Retreat at Taronga.

What Makes the Wildlife Retreat Unique:

• From its huge central lobby, the windows open out to one of the most spectacular views of downtown Sydney.
• Only guests staying at the hotel are given a private tour of the purpose-built Sanctuary where visitors encounter unique Australian animals such as wallabies, potoroos, red kangaroos, echidnas and koalas.
• Included with the hotel stay is an early morning zoo tour before the gates are open to the public. Guides escort visitors to a very popular and newly redone area focused on Australia’s favorite animals such as kangaroos, koalas and dingos.
• Hotel packages include a sumptuous buffet breakfast in the Me-Gal restaurant with yet another incredible view of Sydney. How can one hotel have two such spaces? Hotel guests receive priority reservations at Me-Gal.
• There is special access to the Taronga Zoo from the hotel, and guests are welcome to come and go to the zoo throughout their stay.
• Note that the Retreat does not have a gym, pool or business center.

Most Serene & Sophisticated Stay: Four Seasons Sydney Hotel

For most travelers, staying near the Circular Quay in the bustling heart of the Central Business District (CBD) is highly recommended because of access to major transit hubs and an easy walk of major attractions including the Sydney Opera House, the Sydney Bridge and The Rocks entertainment district. With 531 rooms in a tall skyscraper downtown, the Four Seasons Sydney Hotel has the luxury one expects from the famous worldwide hotel brand. Its location affords the comfort and convenience to ease visitors and business travelers into the first part of an Australia trip.

With an extremely competitive rate compared to lesser known, nearby properties, the Four Season Sydney is an exceptional bargain. Often at less than $300 a night during the off season from April to October, there is a luxury bargain – two words that aren’t often written together in the same sentence. Further, the hotel underwent a top-to-bottom renovation in 2019, just before the pandemic hit. Even for returning guests, it’s like a brand new hotel.

Here’s my full review of the Four Seasons Sydney Hotel.

What Makes the Four Seasons Special:

• The hotel is angled so that almost half of the windows are kinked for an incredible view of the Circular Quay and the Sydney Harbour. Waking up each morning with a view of the Sydney Opera House was well worth the extra money for a room with a harbour view.
• Considering you may not be spending a fortune for a Four Seasons Hotel room, it’s also well worth considering upgrading to a room that includes an impressive Executive Lounge on the uppermost 32nd floor of the hotel and open from 7am to 10pm daily. Beyond the stunning view and generous breakfast buffet, midday snacks and evening gourmet desserts, the Lounge is a place to relax and chat with other guests.  It’s perfect for the single traveler or couple hoping to interact with others.
• An excellent 24-hour gym is connected to a large sauna with steam rooms and showers. For people waiting to check into their rooms after a long flight, the sauna and steam room offer a respite for the weary traveler.
• The hotel has one of the largest hotel pools in the city with towering skyscrapers on all sides. Guests can swim in the heated pool or relax in the jacuzzi or pool deck from 6am to 8pm daily.

Best Location for Conventiongoers: Sofitel Darling Harbour

In the past 10 years, Darling Harbour has undergone major redevelopment, particularly with the opening in 2016 of the $1.5 billion International Convention Centre (ICC) which includes the ICC Sydney Theatre that seats up to 8,000 for a concert. Across a short driveway from the ICC is the 5-star Sofitel Sydney Darling Harbour Hotel which was built to coincide with the opening of the ICC. For a large convention hotel with 590 guestrooms and suites – most with floor-to-ceiling windows – the Sofitel still has a sophisticated look and feel of a smaller hotel.

Darling Harbour’s transformation makes an excellent alternative to a hotel near the Circular Quay. Nearby are harbourside attractions such as SEA LIFE Sydney Aquarium, WILD LIFE Sydney Zoo, the Australian National Maritime Museum and the Sydney Lyric Theater which hosts national tours of musicals and plays such as Hamilton.

You can read my full review of the Sofitel Darling Harbour.

What Makes the Sofitel Special:

• The hotel has a bustling, upscale dining scene. The French-inspired Atelier by Sofitel serves modern Australian cuisine with a French twist and has a seating capacity of 200. On the same level with Atelier is the Champagne Bar with a row of seats along windows to enjoy a view of Darling Harbour while sipping a pre-dinner aperitif or a nightcap.
• If you are visiting Wednesday through Sunday, check out the Lumiere on Thirty Five, a bar that sparkles with the lights of the city as a backdrop.
• The 20-meter infinity pool has an incredible view of the Darling Harbour and Sydney’s Central Business District. This stunning outdoor oasis, named Le Rivage, features a chic terrace with plush loungers and cabanas.
• Like so many other amenity spaces at the hotel, the fitness center offers panoramic views of Darling Harbour and the city skyline whether logging miles on the treadmills, ellipticals or exercise bikes or using the free weights and strength equipment.

Best View in Sydney: Park Hyatt Sydney

Consistently among the top two or three most expensive hotels in Sydney is the Park Hyatt Sydney. The reason for the price is the outstanding location nestled against the Sydney Harbour Bridge staring directly across the harbor to the Sydney Opera House. Most of the 155 rooms have floor-to-ceiling glass doors that open onto balconies offering stunning views of the Sydney Opera House and Sydney Harbor. On our next trip to Sydney, my wife has strongly suggested that we stay at least one night at Park Hyatt Sydney.

Guests can enjoy a stunning rooftop swimming pool and Jacuzzi with views of Sydney Harbour, the Opera House and the Harbour Bridge. The hotel features a spa offering various treatments, a 24-hour fitness center overlooking Dawes Point Park and dedicated butler service. The hotel features The Dining Room by James Viles, showcasing seasonal Australian cuisine, and The Living Room, serving all-day dining. The Bar provides a selection of wines, craft beers and cocktails.

Best Hotel for Longer Stays

For those travelers who are looking to spend a week or longer in Sydney, a new hotel brand, A by Adina Hotel Sydney, opened in 2020. It’s a luxurious 194-room apartment hotel located in the heart of the Central Business District near the main tram line along George Street.

There are a range of accommodations, including studio and one and two-bedroom apartments, all featuring floor-to-ceiling windows with stunning city views. The hotel has a high-end, private apartment feel. Each room offers Dreamcatcher Beds with a pillow menu, full kitchen, separate lounging area and a fully equipped laundry. Also included are unlimited complimentary high-speed WiFi, wireless charger, iron and ironing board and in-room safe.

Guests have access to an indoor heated mineral pool and gym. On the top floor is the award-winning cocktail bar Dean & Nancy on 22 inspired by the moody, swinging bars of the 1950s.

Melbourne & Surrounding Areas

Rivaling Sydney for the top city attraction in Australia is Melbourne.  With a population of five million people, Melbourne refuses to take second place especially for business and art.

Heading southwest from Melbourne, the Great Ocean Road offers an unparalleled driving trip along the Australia coast. We recommend a top-notch hotel at the far end of the trip for an overnight stay. To the southeast, the Mornington Peninsula is where well-heeled Melburnians head for a weekend at the beach. We offer a recommendation for a renovated historic hotel at the tip of the Peninsula.

My Favorite Unique Hotel: The Interlude (Prison) Hotel

In the 19th century, the United Kingdom is well known for having transported thousands of convicts to Australia to relieve overpopulation in its prisons as well as a way to populate its Australian colony. So visitors to Australia may not only find a visit to the Hyde Park Barracks in Sydney to be enlightening from an historical perspective but also want to stay at The Interlude boutique hotel in Melbourne built inside part of the Pentridge Prison complex.

This boutique hotel with 19 rooms, which opened in 2023, seamlessly blends modern luxury with the site’s rich 170-year history. The hotel’s architecture preserves the original bluestone buildings, including the iconic turrets, while cleverly transforming and combining former prison cells into guest rooms with modern design and luxurious amenities, including 55-inch TVs and free WiFi.

What Makes The Interlude Unique:

• Up until 1997, this huge building was a working prison and the longest prison in use in the state of Victoria.
• Rather than sidestep its historical purpose, The Interlude pays respect to its heritage with guided tours and an immersive wellness retreat for reflection.
• Outside of the hotel but included within the prison complex are Olivine Wine Bar, the North & Common restaurant and a movie theater.
• A welcome glass of sparkling on arrival per person
• Daily a la carte breakfast for two
• $30 daily minibar Inclusion
• Candlelit subterranean relaxation pool.
• Guests are offered Signature Experiences such as the daily free Unwind with Wine tasting and other paid-for experiences such as storytelling about the prison around a campfire.

Best Hotel for Social Travelers: Vibe Hotel Melbourne

When you walk in the main entrance of the 201-room Vibe Hotel Melbourne, the front desk may seem a bit chaotic. There aren’t stanchions separate for guests looking to check in. Rather, people are checking in, getting tips for their visit to Melbourne, checking out the food menu and sometimes just chatting with staff. That’s part of the vibe here – friendly, sociable. The hip lobby which blends seamlessly with the One Queen Restaurant which offers breakfast, lunch, dinner and casual drinks.

What Makes the Vibe Hotel Standout:

• Great location across at Queen and Flinders Street with easy access to the Flinders Street Train station, the free City Circle Tram stopping right outside the door and numerous trams along Queen Street on the other side of the hotel.
• Perched 22 levels above the main lobby and seemingly dangling out over the Yarra River, the newly opened Fleet Rooftop Bar invites you to unwind in an “elevated” oasis with panoramic views of the city skyline.
• Upscale indoor heated pool with a serene environment for relaxation and exercise.
• 24/7 gym.

Best Docklands Hotel: Vibe Hotel Melbourne Docklands

Located on the redeveloped Docklands waterfront, the Vibe Hotel Melbourne Docklands take visitors to the edge of the Central Business District for a more relaxing city experience yet within walking distance of Marvel Stadium and the Southern Cross Train Station. With a variety of meeting rooms, this hotel is well positioned for medium to small group meetings.

Most of the 273 guest rooms offer views of the Docklands and the Yarra River and feature floor-to-ceiling windows.

What Make the Vibe Docklands Stand Out:

• Outdoor heated lap pool
• 24-hour gym and steam room
• Storehouse Docklands restaurants with a farm-to-table menu.

Read More: A first-time visitor’s guide to Melbourne and our guide to driving Australia’s Great Ocean Road.

Most Upscale Seaside Resort: InterContinental Sorrento Hotel

Melbournians looking for a seaside escape choose the Mornington Peninsula for a charming seaside town that might remind Americans of Carmel, California, or the Hamptons. No place along the Southern Ocean compares with the InterContinental Sorrento Mornington Peninsula in the picturesque coastal town of Sorrento. This luxurious hotel with a storied history of almost 125 years offers stunning views of the Mornington Peninsula and access to the area’s many attractions.

The hotel’s location is a major draw, with the Searoad Ferry Terminal just a 7-minute walk away and the Sorrento Front Beach just an 8-minute walk. This makes it easy for guests to explore the surrounding area, which is renowned for its stunning coastline, charming seaside towns or the opportunity to take a trip from the dock to swim with dolphins and seals in the summer and fall.

What Makes the InterContinental Sorrento Hotel Special:

• Choice of 184 rooms in either the historic wing or the newly built wing. (We prefer the modern wing because the room layouts tend to be more standard.)
• An absolutely stunning heated pool and lounging area with the best view of the Mornington Peninsula.
• An impressive array of dining options with four restaurants and three bars/lounges.

Best Place to Stay at the End of the Road: Deep Blue Hotel

It’s unlikely that the Deep Blue Hotel & Hot Springs will be on many lists of the most luxurious accommodations in Australia. However, for those travelers seeking to take their time exploring the Great Ocean Road and staying overnight along the way, this Warrnambool hotel is the best choice by far in the area west of Melbourne.

Surprisingly, the hotel location along the Merri River gave us quick access to walkways by the ocean and made it feel very much like part of the Southern Ocean experience.

What Makes the Deep Blue Hotel Special:

• The award-winning Deep Blue Hot Springs Warrnambool offers a unique geothermal bathing experience with a variety of rock pools, sensory caves, a cold plunge pool and cleansing waterfalls. It’s a popular spot, and reservations for 90-minute to two-hour sessions are essential.

• The hotel offers over 80 guest rooms including ocean view suites and penthouse apartments. The sliding glass doors open up so you can enjoy the ocean air. There’s air conditioning and an overhead fan, free WiFi, flat screen TV, iron and ironing board, refrigerator and mini-bar. Best of all, laundry facilities are available to easily wash clothes and never leave the hotel.
• Separate from the Deep Blue Hot Springs, the Deep Blue Hotel features a large heated indoor swimming pool. Near the pool is the Deep Blue Bath House & Day Spa with another pool, sauna and spa treatments.

Cairns & Great Barrier Reef

To experience the Great Barrier Reef, most people begin their adventure in the tropical town of Cairns, located in north Queensland in the northeast section of the Australian continent. Although the Great Barrier Reef stretches south to just north of Brisbane, the northern reef near Cairns is considered the most spectacular and the most abundant in marine life. It’s no surprise, then, that the Cairns marina is full of tour boats, catamarans and pontoons that whisk travelers out on reef cruises to experience this world-famous ecosystem.

Over the past two decades, Cairns has grown from a sleepy coastal town to a bustling tourist attraction with a variety of hotels.

Best Hotel in Cairns Area: The Reef House

The best hotel in the Cairns area is The Reef House Adult Retreat in Palm Cove, recent Gold Winner of the Australian Tourism Awards for 5 Star Luxury Accommodations and consistently one of the best rated hotels in Queensland and Australia.

The stand-out reason for The Reef House ranking is the range of free hotel activities and an incredible staff eager to help you plan your vacation. For solo travelers and couples eager to interact with fellow travelers, The Reef House offers an unmatched experience in Australia.

Although not located in the main town of Cairns, The Reef House is 20 minutes away in a small residential community. Cabs are plentiful for those not interested in renting a car.

What Makes The Reef House Special:

• The resort features “Escape Planning Specialists” who reach out personally to each guest before their arrival not only to ensure the hotel is ready for them, but to ensure guests receive help in planning the vacation and making reservations throughout the region.
• Located directly across from the beach.
• Breakfast, lunch or dinner, the Reef Restaurant boasts stunning vistas of Palm Cove, especially at breakfast during sunrise.
• The resort offers cocktail making classes, Sunrise Beach Yoga, stretch and breathe classes, aqua aerobics, wine appreciation class, a reef conservation talk, Aboriginal interpretation experience, and evening canapés and punch with the General Manager. Most of the activities are free.
• The main swimming pool is right off the lobby. Separately, there is a mineral pool, Jacuzzi and heated Japanese style outdoor spa.

Most Convenient Hotel for a Trip to the Reef: Shangri-La The Marina

Shangri-La The Marina, Cairns is a luxurious 5-star hotel situated in a prime waterfront location between Trinity Inlet, the Coral Sea and Cairns Esplanade. The hotel offers 255 contemporary rooms and suites, each featuring a private balcony or terrace with stunning views of the marina and surrounding mountains.

It’s located by the Reef Fleet Terminal, the hub for those guests seeking a water adventure. Looking very much like an airport check-in counter, the terminal buzzes each morning with scuba divers, snorkelers and day trippers checking in with tour operators before walking to their boats. There are booths for multi-day live-aboard tours and the Spirit of Cairns Dinner Cruise.

What Makes the Shangri-La Special:

• Best location for snorkelers or those taking water excursions to the Great Barrier Reef.
• Outdoor swimming pool with views of the Cairns Marlin Marina.
• Tour desk inside the hotel.
• Fitness center.
• Business center.
• Free parking.

Most Luxurious (and Expensive) Hotel at the Reef

There are less than a dozen islands along the massive Great Barrier Reef that feature hotels or resorts. None of them truly compare to a stay at Lizard Island Resort – an immersive experience amidst the beauty of the reef with a high price that makes this a once-in-a-lifetime experience for all but the richest few.

The resort is the sole vacation property on Lizard island, part of Lizard Island National Park, the only continental island group close to the outer barrier reef.

What Makes Lizard Island Resort Special:

• The only way to reach Lizard Island other than a very long boat ride is to fly East Air with two daily departures from Cairns and return flights. The price of the flight alone is more costly than some people will spend to fly to Australia.
• This is an all-inclusive resort with incredible food. The Salt Water Restaurant is part of the resort’s main building and where a full breakfast (with table service), lunch and dinner are served. A bar adjoins the space. At each meal, guests choose from two appetizers, four or five entrees and desserts. Wine and cocktails are included.
• Snorkel the reef right off the beach. On our first snorkel from the beach, we immediately saw two large turtles and swam up to several small coral reefs. Via water, a short walk or a dinghy ride is Watson’s Bay and the Clam Garden where dozens of large giant clams can be seen in a large area cordoned from boats. Everyone who stays on the island makes a point of at least trying to snorkel this section.
• Naturalists offer free walking tours of Pandanus Track and Chinaman’s Ridge to Watson’s Bay where we spotted bats hanging in the trees and monitor lizards from which the island gets its name.
• Fitness center, heated pool and tennis court.