Where to Stay in Hobart: 3 Best Areas and Hotels for All Budgets

Looking for where to stay in Hobart? The capital of Tasmania in Australia was the final stop of our island journey in January 2025. This charming city won us over with its fascinating history, vibrant food scene, and proximity to stunning landscapes like the iconic Mount Wellington. To make the most of everything Hobart has to offer, we recommend spending a few days in the city. In this guide, we share the best areas to stay in Hobart and the best hotels in Hobart for all budgets, based on our experience.

Battery Point – History and Charm

During our stay in Hobart, we stayed at St Ives Apartments in Battery Point. This area is one of the most charming in the city, with quiet streets, historic houses, and a convenient location just a short walk from Salamanca Place and the harbor. It’s perfect for exploring Hobart on foot and enjoying a relaxed atmosphere.

Best Hotels in Battery Point

• Luxury: Lenna of Hobart – A historic building with stunning views of the harbor, perfect for those seeking a sophisticated experience.
• Mid-range: St Ives Apartments – The ideal choice for those who value comfort and convenience, with modern apartments and kitchenettes.
• Budget: Montacute Boutique Bunkhouse – A cozy and budget-friendly hostel, perfect for laid-back travelers.

Sullivan’s Cove – Central and Vibrant

Sullivan’s Cove is the heart of Hobart, with a vibrant atmosphere and a central location that places you near main attractions like Salamanca Market and Constitution Dock. It’s the best choice for those who want to be at the center of the action and explore the city’s top bars and restaurants.

Best Hotels in Sullivan’s Cove

• Luxury: MACq 01 Hotel – A five-star hotel that combines contemporary design with a tribute to Tasmania’s history.
• Mid-range: The Henry Jones Art Hotel – A unique space converted from an old cannery, celebrating local art.
• Budget: Customs House Hotel – An affordable option with an unbeatable location by the harbor and an on-site restaurant.

Sandy Bay – Tranquility and Seaside Views

Sandy Bay is a peaceful residential area known for its sea views and easy access to beaches and Mount Wellington. It’s ideal for families or anyone looking to relax away from the hustle and bustle of the city center, while still being close to main attractions.

Best Hotels in Sandy Bay

• Luxury: Wrest Point Hotel Casino – A historic landmark in Tasmania, with elegant rooms and panoramic views of the Derwent River.
• Mid-range: Clydesdale Manor – A historic mansion offering an intimate and cozy atmosphere.
• Budget: Grosvenor Court Apartments – Spacious and well-equipped apartments, ideal for longer stays.

Tips for Choosing Where to Stay in Hobart

• Consider Your Travel Style: If you’re looking for historic charm and tranquility, Battery Point is a great choice. For a more dynamic experience, Sullivan’s Cove is the perfect spot.
• Book in Advance: During summer and holiday seasons, Hobart is in high demand, so make sure to book your accommodation as early as possible.
• Think About Location: Sandy Bay offers the perfect balance for those who want to relax and, at the same time, explore nearby natural landscapes and beaches.

Based on our experience in Hobart, we can assure you that this city is an unforgettable destination, offering options for all tastes and budgets. Choose the area that best suits your preferences and start planning your trip today!