Where to Stay in Queenstown, New Zealand: 4 Best Areas & Hotels

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Dreaming up your Queenstown escape but not sure where to drop your bags? You’re in the right spot!

This compact adventure capital might be small in size, but each neighborhood offers something a little different. Whether you want to be steps from the lake and Queenstown’s buzzing nightlife, wake up to snow-capped peaks in a quiet alpine suburb, or base yourself near the airport with great value and easy parking, there’s a perfect area for your style and budget.

In this guide, we’re breaking down the best areas to stay in Queenstown, giving you a feel for each neighborhood’s vibe and pros and cons. Plus, we’ve included our favorite mid-range hotel pick in every area so you can book with confidence. 

Where To Stay in Queenstown Map

Overview of the Best Areas To Stay in Queenstown

Queenstown may be small, but each of its neighborhoods has its own unique vibe, scenery, and perks! Some, like Central Queenstown and Fernhill, are super walkable and put you right in the middle of the action, while others, like Frankton and Arthur’s Point, offer a quieter, more relaxed base just a short drive away. 

Regardless of where you stay, there’s a handy public bus system to connect the dots, and you’ve always got the option to rent a car, bike, or grab an Uber. Here’s a quick overview of our favorite areas in Queenstown and what they each have to offer, plus a standout mid-range hotel pick in every neighborhood.

• Central Queenstown (CBD) – Set on the shores of Lake Wakatipu, this walkable downtown hub is packed with restaurants, bars, shops, and tour operators. We love mi-pad Queenstown for its sleek design, rooftop terrace, and unbeatable location just steps from the action.

• Fernhill – Just outside the center, Fernhill is a quiet hillside neighborhood with incredible lake and mountain views. Kamana Lakehouse offers the perfect blend of comfort and boutique charm, along with one of Queenstown’s best restaurants and some seriously stunning sunsets.

• Frankton – This suburb near the airport is home to big-box stores, cafes, and the Five Mile shopping precinct. Sherwood Queenstown offers a rustic, eco-friendly stay with mountain views, a farm-to-table restaurant, and a creative vibe—just a 5-minute drive from both the airport and town.

• Arthur’s Point – Nestled in the hills with forest trails and rivers nearby, this peaceful area is made for relaxation and adventure. Moonlight Escape Lodge is our top pick for a quiet stay, complete with hot tub sessions, warm hospitality, and views that are hard to beat.

Where to Stay in Queenstown

Central Queenstown (CBD)

There’s no better introduction to Queenstown than staying right in the CBD. Nestled on the shores of Lake Wakatipu, this central hub is where Queenstown buzzes with energy—think lively streets, cozy cafes, bustling restaurants, and lakefront bars with views that don’t even look real. 

We loved being able to walk everywhere: whether it was grabbing a flat white, jumping on a cruise across the lake on the TSS Earnslaw, or booking an adventure on a whim, like paragliding or jet boating. Even just strolling along the waterfront with an ice cream in hand felt like a mini event. There’s just something about the mountain air that makes everything feel a little more exciting.

This area is perfect for first-timers or travelers who want to be right in the thick of the action without needing a car. You’re just minutes from the Queenstown Gardens, the Skyline Gondola, and some of the most scenic waterfront walks I’ve ever done. 

It’s also where you’ll find the best people-watching—locals, backpackers, honeymooners—everyone ends up here at some point.

While it can definitely get busy during peak seasons, I didn’t mind the buzz. For me, this area felt like the beating heart of Queenstown, and it makes an unforgettable base if you want to be close to it all.

Pros

• Walkable access to shops, restaurants, and adventure tours
• Stunning lake and mountain views right from town
• Best area for first-time visitors to Queenstown

Cons

• Can be noisy and crowded, especially in summer
• Higher accommodation prices due to location
• Limited parking options (and it can be expensive!)

Luxury – $$$

This boutique stay might just be the most stylish hotel we’ve ever set foot in. The Central Private Hotel by Naumi Hotels is tucked away on a quiet street just five minutes from downtown Queenstown, but the second we stepped inside, we felt like we’d entered a chic artist’s hideaway. 

The rooms are massive, and each one has bold, colorful decor that somehow totally works. They go all out on the extras here, too—think complimentary happy hour, snacks, and breakfast. There’s also a dreamy little garden to sip your coffee in while staring at the mountains. 

It’s adults-only, so the vibe is super relaxing, and the staff made us feel genuinely welcome, like we were staying at a friend’s very cool house. Rooms range from $300 to $600 NZD per night, including breakfast. 

Book your artsy Queenstown escape at The Central here if there’s still room!

Mid-range – $$

We were instantly taken by its sleek, modern design when we stayed at mi-pad Queenstown. It’s the kind of place where minimalist decor meets thoughtful comfort, and it somehow still feels like home. The location is unbeatable, just a few minutes’ walk from the lakefront, restaurants, and pretty much everything downtown. 

The rooms are compact but smartly laid out, with big windows that frame views of Queenstown’s mountains or rooftops. My favorite part? The rooftop terrace! It’s the perfect spot to unwind with a drink while watching the sun go down over the lake (they even have fireplaces up there!). 

Oh, and did I mention the free hot drinks on every floor? Total lifesaver after chilly mornings. Rooms usually go for $180 to $340 NZD per night, depending on the season. It’s a great-value stay with a cool, urban vibe.

Book mi-pad Queenstown here for comfort, location, and a killer rooftop view!

Budget – $

For budget-friendly comfort just minutes from the heart of Queenstown, Melbourne Lodge Queenstown really came through for us. It’s an easy 5–10 minute walk to the CBD (a bit uphill on the way back, but manageable!), and the views from the deck made it totally worth it. 

We stayed in a spacious king suite with a little balcony, and I loved sipping my morning coffee while watching the light hit the lake and mountains. The rooms are simple but super clean and comfy, and there’s even a shared kitchen and lounge if you want to cook or meet other travelers. 

Free parking was a bonus since we had a rental car, and the staff were lovely and helpful the whole time. Prices start around $130 to $340 NZD, depending on your room type and travel dates.

For a solid value and amazing views, book Melbourne Lodge!

Fernhill

If you want to be close to Queenstown but crave a quieter, more laid-back vibe, Fernhill is a hidden gem. Set off into the hills just a 15-minute walk or quick bus ride from the CBD, this neighborhood offers incredible views over Lake Wakatipu and The Remarkables, and you don’t even have to leave your balcony to enjoy them. 

We loved waking up here. It felt like our own little alpine retreat, where mornings were quiet and the air smelled like pine trees. It’s the kind of place that’s perfect for hikers, bikers, and anyone who’d rather trade nightlife for nature trails. 

You’ve got direct access to the Fernhill Loop Track and the Ben Lomond Reserve, which makes spontaneous afternoon treks a breeze. We even discovered a quiet lookout tucked just off the trail with one of the best sunset views we found in Queenstown—completely crowd-free.

While it’s more residential than touristy, that’s part of its charm. You’ll still find a few cafes and small markets nearby, but the big perk is being able to unwind in peace after a busy day out. It’s also great if you’re visiting Queenstown with a car because parking is much easier here than downtown.

Fernhill felt like our reset button. It’s still close to everything, but with space to breathe!

Pros

• Stunning lake and mountain views from many hotels and homes
• Peaceful and quiet, ideal for nature lovers
• Easy access to hiking and biking trails

Cons

• Fewer dining and shopping options compared to central Queenstown
• Some uphill walking if you’re on foot from the CBD

Luxury – $$$

This place really lives up to its name—Hidden Lodge Queenstown feels like your own private retreat tucked into the hillside, with panoramic views that completely stopped us in our tracks. From the moment we arrived, we felt looked after in the warmest, most personal way. 

The hosts were absolute gems (seriously, they helped us plan our whole day over coffee), and the setting was pure Queenstown magic with mountains, lake, peace, and quiet. Our suite had a balcony with views straight out to Cecil Peak, and the complimentary mini-bar was such a nice touch. 

Mornings started with a chef-cooked breakfast, and evenings ended with a soak in the sauna or a drink in front of the outdoor fireplace. It felt cozy and elegant without trying too hard. Rates typically run $450 to $700 NZD per night, including breakfast and those extra little luxuries that make a stay feel special.

Check availability and book Hidden Lodge for total Fernhill serenity!

Mid-range – $$

Kamana Lakehouse is one of those rare places that nails the boutique hotel feel without being over-the-top. The views from here are unreal—Lake Wakatipu and The Remarkables feel like they’re right outside your window (because they basically are). We stayed in a room with a private balcony and honestly didn’t want to leave.

Inside, the vibe is polished but warm. The rooms are beautifully designed, the beds are so comfy, and the on-site restaurant, Nest, is a serious standout. It serves seasonal, locally sourced dishes that change all the time. Our dinner there was one of our best meals in Queenstown!

Rooms typically range from $230 to $500 NZD per night, with lakeview upgrades worth the splurge.

Reserve Kamana Lakehouse for top-tier views and a cozy local vibe!

Budget – $

We were honestly surprised by how much value Mercure Queenstown Resort packs in for the price. Perched on a hillside in Fernhill, this place gives you the kind of lake and mountain views you’d expect from a splurge, but at a budget-friendly rate. 

Our room was spacious and clean, and waking up to those Remarkables views made it feel way more luxe than we expected. There’s also a seasonal outdoor pool, two spa tubs, a gym, and even a sauna, which felt like such a treat after hiking the Fernhill Loop. 

We had dinner at their on-site restaurant, South Eatery, and the floor-to-ceiling windows made the views almost as good as the food. Rooms typically range from $160 to $280 NZD per night, and parking is included, which is a big win in Queenstown.

Book Mercure Queenstown Resort here for big views with a small price tag!

Frankton

Frankton covers a wide stretch of Queenstown’s east side and is a fantastic choice for travelers looking for great value, easy airport access, or a quieter stay just outside the action. It’s a bit more suburban than other areas, but that’s part of the appeal, especially if you’re traveling as a family, on a budget, or just want some breathing room.

What’s unique about Frankton is that it really splits into two parts. If you stay along Frankton Road, you’ll find some incredible lakefront hotels with uninterrupted views of Lake Wakatipu—plus you’re only a 10- to 15-minute drive from the CBD. These spots are ideal if you want a peaceful setting while still being close to town.

Meanwhile, central Frankton is more about convenience: supermarkets, takeaway spots, and big-name stores like Kmart and Pak’nSave. It’s also right by Queenstown International Airport, so it’s perfect if you’ve got early flights or just want to skip the hustle of downtown.

There’s not much nightlife here, but the Remarkables Park Town Centre and Queenstown Trail make it super livable. We loved staying here when we needed space, comfort, and easy access to road trips around Otago.

Frankton might not be flashy, but it’s practical, scenic, and seriously underrated.

Pros

• Great value for longer stays or families
• Close to the airport and major shopping centers
• Lakefront hotels along Frankton Road offer beautiful views

Cons

• Less walkable and lacks the charm of central Queenstown
• Not much nightlife or restaurant variety nearby

Luxury – $$$

For that polished, lakeside luxury without the chaos of the town center, The Rees Hotel & Luxury Apartments delivers on all fronts. We stayed in a lakeview room with a balcony, and waking up to those still Wakatipu waters and snow-capped Remarkables felt like a dream. 

The location along Frankton Road was perfect—just a five-minute drive to downtown Queenstown, but far enough for peace and quiet. The rooms are spacious and elegant, with Italian-designed bathrooms, plush beds, and thoughtful touches throughout. 

I loved sipping wine at the Bordeau Lounge before dinner at True South—definitely splurge-worthy. They even have a free shuttle into town, which we used more than once. Rooms typically range from $380 to $800+ NZD per night, and they have apartment options that are ideal for longer stays or families.

For five-star service, book The Rees Hotel & Luxury Apartments here!

Mid-range – $$

Sherwood Queenstown is a creative, eco-conscious stay just outside the heart of town, offering a rustic-chic atmosphere with a strong focus on sustainability. Set on a hillside above Lake Wakatipu, it’s surrounded by native landscaping, vegetable gardens, and views of the Remarkables mountain range. 

Rooms are simple but thoughtfully styled with upcycled materials, wool blankets, organic teas, and natural bath products. Many rooms include mountain or lake views, and there’s an on-site sauna, yoga classes, and even live music events. The restaurant is a standout, serving locally sourced, seasonal dishes alongside natural wines and craft cocktails.

Sherwood is about a 5-minute drive from Queenstown’s center and the airport, and prices generally range from $150 to $280 NZD per night, depending on the room type. Free parking and a peaceful, creative atmosphere make it a standout in the mid-range category.

Check prices and availability for Sherwood Queenstown here!

Budget – $

We stayed at Driftaway Queenstown when we wanted something affordable without giving up views, and wow, did it deliver. Tucked right along Frankton Beach, this spot gives you direct lake access and some of the dreamiest mountain backdrops in town. It’s also super close to the airport, which made our early flight home way less painful.

This isn’t your typical holiday park—it’s ultra modern, super clean, and surprisingly stylish. We booked a private lakeview cabin and loved having a cozy space to unwind. 

The shared facilities were spotless, and there’s even a playground and games room if you’re traveling with kids (or just want to get competitive over a board game). Rooms start as low as $140 NZD per night, depending on the season and setup.

For lakeside vibes on a budget, reserve your room at Driftaway here!

Arthur’s Point

If you’re looking for a peaceful escape just outside of Queenstown, Arthur’s Point hits the sweet spot. Tucked into the hills just a 10-minute drive from the CBD, this scenic neighborhood is all about soaking up nature and unwinding, without being too far from the action.

What drew us in was the mix of quiet surroundings and adventure right at your doorstep. We spent our days hiking nearby trails, relaxing at the iconic Onsen Hot Pools (don’t skip this—it’s unreal), and trying heart-pumping activities like the Shotover Jet and Canyon Swing, both based right in Arthur’s Point. 

There’s even a charming riverside trail down by the Shotover River that’s perfect for a morning stroll or a quiet sunset walk. It’s also super convenient if you’re here to ski, Coronet Peak is just up the road.

You won’t find the nightlife or dining variety of central Queenstown, but that’s kind of the point. The vibe here is slower and more local, with just a few cafes and restaurants sprinkled around. It’s ideal for couples, nature-lovers, or anyone wanting a calm base with plenty of scenic payoff.

We loved returning to Arthur’s Point after a big day. It felt like a breath of fresh mountain air every time!

Pros

• Close to Coronet Peak and top adventure activities
• Quieter, more peaceful than central Queenstown
• Home to the famous Onsen Hot Pools

Cons

• You’ll need a car or rideshare to get around
• Limited dining and shopping options nearby

Luxury – $$$

The Canyons B&B felt like a secret escape tucked into the hills above the Shotover River. Our Superior Double Room was stylish, serene, and came with sweeping canyon views we couldn’t get enough of. From plush robes to fresh flowers, every detail made the stay feel special.

Breakfasts were a daily highlight, with homemade, generous, and tailored to our dietary needs. Jennie, the host, made us feel completely at home. And the hilltop hot tub? A dream. Watching the stars rise over the valley from warm water was the perfect way to unwind.

The peaceful location is just outside Queenstown, but you’ll want a car to get around. Rates typically range from $250 to $350 NZD per night, depending on the season. It’s the kind of place that lingers long after you’ve checked out.

Book this popular luxury stay here before rooms fill up!

Mid-range – $$

Moonlight Escape Lodge is one of those rare finds that feels like a secret sanctuary. Set above the Shotover River in the hills of Arthur’s Point, this peaceful lodge is surrounded by forest, birdsong, and mountain views, and yet it’s only a 10-minute drive to Queenstown. 

Each morning started with a beautifully laid out continental breakfast, and evenings were spent soaking in the outdoor hot tub, listening to nothing but the wind through the trees. Plus, the hosts, Juliet and David, were incredibly welcoming and full of great local recommendations.

Prices generally start around $330 NZD per night, including breakfast. If you’re after a quiet, nature-filled escape that doesn’t skimp on comfort, book your stay at Moonlight Escape Lodge—you won’t want to leave.

 Check rates and availability for this peaceful retreat here!

Budget – $

Queenstown Top 10 Holiday Park is a fantastic budget-friendly option with a little something for everyone. Tucked into a peaceful spot just five minutes from the Shotover River and close to the Onsen Hot Pools, it’s ideal for families, couples, or road trippers who want convenience without the Queenstown price tag.

We stayed in a cozy studio and were impressed by how clean, warm, and well-equipped everything was, including the shared kitchen and lounge areas. There’s even a playground and games room for kids, plus a free shuttle into town that saved us the hassle of parking.

You can choose from simple cottages with shared bathrooms to self-contained apartments. Prices start around $100 to $160 NZD per night, depending on your room type.

For that classic charm, book this budget stay at Arthur’s Point here!

Other Activities to do While in Queenstown

Now that you’ve found the best area and hotel for your stay, you can start planning your itinerary! There is so much to do in Queenstown, so let me help you narrow it down by picking out my top five favorite things to do:

• Take a cruise – Aboard this TSS Earnslaw Steamship Cruise, you’re in for a scenic and relaxing afternoon in Queenstown. This is one of the last coal-fired steamships in the world, and you get to watch the crew add coal to the flames to power the vessel as you take in mountain ranges and lush green valleys. You can also upgrade this tour here to include dinner at Walter Peak High Country Farm.

• Watch a sunset – As the day draws to a close in Queenstown, make sure to head to the shores of Lake Wakatipu to watch a sunset. It’s one of the best viewpoints to watch the sun sink behind the Southern Alps. I like watching from Queenstown Beach or Perky’s Floating Bar where you get a view of the lake and delicious food and drinks too!

• Go canyoning – Climb and jump off waterfalls, rappel, swim, and trek as part of this Queenstown Canyoning Adventure with a qualified guide. This thrilling full-day activity is perfect for those who love adventure and exploration! As long as you aren’t afraid of heights and have a basic swimming ability you won’t need any other skills.

• See Milford Sound – This day trip to Milford Sound with a picnic lunch will give you the ultimate ability to explore the beauty of Milford Sound in Fiordland National Park. Not only will your guide stop at several impressive viewpoints on the way from Queenstown, but a cruise in Milford Sound will also be included.

• Wine tasting – This Central Otago Wine Tour and Tasting is my personal favorite wine tour in Queenstown! It is one of the best values for money as you visit four different boutique wineries in the Otago region, and it includes a wide range of wine samples and a gourmet lunch platter. As you hop between wineries, you’ll gaze out the window at spectacular views.

Renting a Car, Campervan, or Motorhome in New Zealand

Let’s face it, you’re going to need wheels to get around New Zealand. Although a small country, buses between destinations are infrequent and expensive. Plus, some of the best experiences you can have in NZ are on road trips!

You have three options when it comes to getting wheels in New Zealand; a car, a campervan, or a motorhome. Here’s what you need to know about each and where to get them:

• Car – A normal car is the cheapest rental vehicle you can get in New Zealand. It’ll get you around to all of the best destinations with ease. The only downside to a car is that you will need to stay in hotels or Airbnbs during your travels (no camping.) The easiest place to rent a car in New Zealand is on Discover Cars where you can compare cars, companies, prices, features, and more very easily.

• Campervan – A Campervan is a large van that has a bed and a small kitchen in the back. It’s what most budget travelers use for traveling around New Zealand since it allows you to camp comfortably and for free (most) nights. Campervans are best for couples or solo travelers who are happy to live in a small space. You should also love the outdoors and camping…and be prepared for an adventure of a lifetime! My favorite campervan rental company is JUCY because they have a huge selection of campervans to choose from, plus multiple pick-up/drop-off locations. You can browse JUCY’s campervan selection online here. Alternatively, you can easily compare all campervans available in NZ on Motorhome Republic here.

• Motorhome – A motorhome is larger and more comfortable than a campervan. Many motorhomes will comfortably sleep 6 or more people – perfect for a family visiting New Zealand. Motorhomes are the most expensive option, but with one you won’t ever need to stay in a hotel and you’ll save money that way. My top choice for a motorhome company is Star RV because they have beautiful motorhomes at affordable prices. You can check prices and availability for Star RV motorhomes online here. Alternatively, you can use Motorhome Republic to search all motorhomes in NZ. For more detailed info, read my complete guide to renting a motorhome in New Zealand!

EXCLUSIVE DISCOUNT CODE: I’ve managed to snag a discount code for 5% off for my readers if you book your campervan or motorhome through JUCY or Star RV! Simply click here to select your JUCY campervan, or click here to select your Star RV motorhome, and then use the code DTRAVEL25 at checkout to get 5% off – it’s that easy!

Thanks for reading!

Once you stay in Queenstown once, you’ll never want to leave – at least that’s what happened to me! Each of these four areas offers something different, but they all boast the best things to do in Queenstown. Whether you want to be in the bustling CBD, a lovely secluded stay, something luxurious, or budget-friendly, you can find it here.

Before you go, check out my other Queenstown blogs. I have a lot of resources on the best activities, hikes, and day trips to fill in your itinerary. Here are a few guides to help with your planning:

10 FUN & EXCITING Things to do in Queenstown

23 BEST Stops on the Drive from Queenstown to Milford Sound

50+ EPIC Things to do on the South Island, New Zealand (By a Local!)