Where to stay in Queenstown (the best areas and hotels)

Sep 23

My guide to the very best hotels and places to stay in Queenstown

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At a glance — top hotels in Queenstown

$ — Tahuna Pod Hostel is a great budget option or for solo travellers. It attracts an older, calmer crowd, unlike a lot of the other hostels in Queenstown.
$$ — Scenic Suites: Conveniently located a 10 minute walk from the centre of town, I loved the lake view and amenities like a washer and dryer in the suite. The breakfast at the hotel was average at best, but that’s not an issue when cafes are so close by.
$$$ — Millbrook Resort: I loved staying out in Arrowtown, away from the hustle and bustle of Queenstown central. Millbrook has complimentary shuttles to take you to and from town, and Arrowtown itself has nice restaurants and serves as a good base for exploring the area.

When I hiked the Rees Dart track, I booked a shuttle to the trailhead in the Rees valley, and chatted to the driver on the way. I told him I had no shuttle booked back from the remote Dart trailhead, because it wasn’t running on the day I wanted to leave.

He told me if I was lucky, I might be able to hitch a ride out.

I got lucky.

When I tramped into the Dart carpark six days later, who should be there, but that same driver — he also works as a tour driver for Nomad Safaris, and happened to be parked up at the exact same moment I emerged.

He offered me a lift all the way back to Queenstown.

That’s what Queenstown is like; small enough that you’ll bump into the same people everywhere. Even in the weirdest places.

Despite it being such a major tourist hub, Queenstown really is a small town. This means the centre is jam packed with hotels, restaurants, and traffic.

It can be mayhem at times, and locals love to call Queenstown ‘Conestown,’ because of the road cones that seem to line every street in town.

centre of queenstown, new zealand — *The centre of Queenstown is forever littered with roadworks and cones*

It isn’t that surprising that road works are underway in Queenstown. It’s a small town with a huge number of visitors cramming their cars into the streets. Space is at a premium, and that goes for accommodation as well — Queenstown is not a cheap place to rent a room.

You can expect to pay more for a room than almost anywhere else in the country. Value for money is not always great, which is generally reflected in reviews and why many hotels have lower ratings than you would expect for the price point.

If you prefer to be outside the messy chaos of Conestown, stay in Frankton. If you don’t mind dealing with expensive parking, stay in Queenstown Central so you’re a short stumble home from the bars.

There are many places to stay in Queenstown, but a lot are owned by offshore companies and large conglomerates. As much as I can, I have kept this list to independent, locally owned accommodation businesses — because supporting local is an important part of travelling sustainably.

So, this list might look a little different to other round ups of top Queenstown accommodation. I have stayed at some of these places. For others, I know of their reputation from my years in the New Zealand travel industry. For the rest, I have sifted through all the accommodation available to find the places that aren’t owned by investors.

The best areas to stay in Queenstown (at a glance)

If you’re struggling to decide where to stay in Queenstown, here is a quick breakdown of the key areas.

Queenstown Central

queenstown lakefront in the early morning light

The centre of Queenstown is a small grid that takes less than an hour to walk around. The lakefront is beautiful any time of day, but especially in the mornings and evenings.

Staying right in the centre means you’ll be conveniently located in the thick of it, walking distance to all the bars and restaurants.

A lot of the activity operators have booking offices right in the centre too, so it’s easy to walk around and get information (if you’re a last minute planner like me).

The downside is that parking can be a pain. It’s limited and expensive, and trying to navigate the centre’s streets is stressful — there is almost always traffic.

And, a lot of the bars and restaurants you can walk to are pretty tourist focused. That means they can be quite busy, rowdy in the evenings with stag dos and hens parties, and generally not the kind of chilled out local spots you can find further out.

Noise from the bars can spill over to the hotels in the very centre of Queenstown. I don’t think that’s a deal breaker if there is a place you have your eye on, but it is something to note.

*The evening view from the living room of my suite at* *Scenic Suites in Queenstown*

Scenic Suites Queenstown

MY REVIEW:

After a couple of weeks of being on the road, I was very happy to check into my suite overlooking Lake Wakatipu. The kitchen came with some much-appreciated essentials — coffee machine, washing machine, and dryer.

The separate bedroom opened onto a little balcony, and the spacious living room had floor to ceiling windows to better capture the view.

The biggest catch with the Scenic Suites is that not all of the rooms are looking at the lake — I stayed here as part of a larger group and not everyone had the epic view I had. I’m not totally sure how you would mitigate that, except to maybe contact them after booking.

The breakfast was honestly pretty disappointing and I wouldn’t bother with it — head to odd saint in town instead.

WHAT’S NEARBY:

It’s only a 10 minute walk to the very centre of town, but note that you will have to walk uphill to get back to the hotel.

CHECK RATES >>

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Tahuna Pod Hostel

Tahuna Pod Hostel is a solid budget option, especially for solo travellers when bearing the cost of a hotel room on your own is too much.

MY REVIEW:

As far as Queenstown hostels go, Tahuna Pod Hostel is really nice (I have stayed in some of the very grimy hostels which attract a much younger and rowdier crowd).

Guests in Tahuna are a little more diverse in age than some of the other budget options (I didn’t feel out of place) and it’s small enough that it’s still quiet.

The pod setup of the dorms is very comfortable, and the whole place was impeccably clean.

I have stayed there many times, and while it’s expensive for a dorm room, I think it’s worth paying a bit extra for quiet, comfort, and cleanliness. For reference, I also tried a night in the Haka House Queenstown Lakefront and did not enjoy it anywhere near as much. The facilities, location, and staff were all better at Tahuna.

WHAT’S NEARBY

Tahuna Pod Hostel is right in the middle of town, so it’s walking distance to everything the centre has to offer.

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The Sherwood

I haven’t stayed at The Sherwood, but I have visited the restaurant, and I thoroughly enjoyed it.

The hotel also some great eco-friendly credentials, and has a little more personality than some of the newer properties around town (I might have peeked into some of the rooms).

The location is roughly between central Queenstown and Frankton, so you’ll need transport to get around.

Frankton

Staying in Frankton is more an exercise in practicality than romance.

Frankton is mostly strip malls, supermarkets and the airport, but it’s convenient if most of your planned activities are outside of Queenstown itself.

Parking is much easier to find and usually free, you’re close to amenities if you need to shop for snacks before a hike, and the airport is literally walking distance from some properties.

And it’s not ugly, by any means. Frankton isn’t really a destination in itself, but Frankton beach is a nice place to watch the sunset.

Sudima Queenstown Five Mile

Sudima Queenstown Five Mile is a great option if you’d prefer to stay in Frankton (and avoid having to deal with parking and driving in the centre of Queenstown).

It only opened in 2021, so it’s relatively new, and the design is immaculate (I’m also a fan of the Sudima in Kaikoura). I haven’t stayed in the Sudima Queenstown, but I have been to dinner in the restaurant there. The food was forgettable, but the hotel itself was lovely.

Glenorchy

A village 45 minutes from Queenstown, Glenorchy is an option if you want a tranquil escape. There aren’t many restaurants or shops in Glenorchy, so it’s best for those who love the outdoors and want to be closer to the walks and hikes in the area.

The Headwaters Eco Lodge

Although this luxury eco accommodation is located in Glenorchy, a 45 minute drive from Queenstown, I’m including it anyway as it’s a truly exceptional place to stay. Its sustainability credentials are top notch.

Why I recommend this hotel:

This lodge feels perfectly integrated with the landscape. It’s one of the most thoughtfully designed places I have stayed.

I loved all the details, like the heavy wooden beams throughout, recycled materials, and landscaped gardens with stones, native grasses, and even a fire pit.

It did get sold a few years ago to billionaire developers, which I don’t love, but the lodge has stayed committed to sustainability and reinvesting profits into the community, which is good.

What’s nearby:

Glenorchy is just a small village, but you can easily stroll to the lake and check out the famous red shed, or just go for a coffee next door at Mrs Woolleys General Store.