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The new hotels, restaurants and arts precinct reshaping Melbourne

Melbourne has long held the crown of Australia’s cultural capital but refuses to rest on its laurels, with a slew of new openings demanding attention.

I weave in and out of the giant yellow tentacles, craning my neck to see the spotted pumpkin they’re supporting metres above my head. Titled Dancing Pumpkin, the iconic work of Yayoi Kusama was originally part of the National Gallery of Victoria’s (NGV) 2025 retrospective featuring nearly 200 of the artist’s most celebrated works in one landmark exhibition; it’s now part of the gallery’s permanent collection. Early impressions of Laak Boorndap, an expansive 18,000 square-metre biodiverse public urban garden, indicate the sculpture will feature as the centrepiece of the new outdoor space, one of three major developments to be realised in the Melbourne Arts Precinct transformation that will unfold over the next three years.

the dancing pumpkin by Yayoi Kusama
Yayoi Kusama’s Dancing Pumpkin. (Image: Sean Fennessy)

It’s Australia’s largest ever cultural infrastructure project, encompassing The Fox: NGV Contemporary, a landmark new gallery currently under construction; the major refurbishment of Arts Centre Melbourne’s Theatres Building; and creation of Laak Boorndap. Creating a single continuous art, civic and cultural precinct stretching from Federation Square through to Southbank, it’s an ambitious project to say the least. But Melbourne never does anything by halves.

the NGV exterior
The NGV is Australia’s oldest gallery. (Image: Visit Victoria)

How Melbourne continues to draw tourists back

Hosier Lane covered in graffiti, Melbourne
Iconic graffiti-covered Hosier Lane in Melbourne’s CBD. (Image: Robert Blackburn)

It was the arts that first caused me to travel to Melbourne as a culture-starved 21-year-old. Growing up in a sleepy coastal region of NSW meant my access to galleries, museums and theatre was extremely limited. I travelled to the Victorian capital with my mum and sister to see the stage production of Wicked make its Australian debut; the weekend was a revelation. Not only the exposure to the arts, but the food, the architecture, the hum of the city; it was intoxicating. Six years later I was back, dining on dumplings and drinking at hidden bars in Melbourne’s laneways before embarking on a week-long road trip of the Great Ocean Road with my best friend, and just this year I returned for my first Australian Open with my husband and his family – vowing not to allow so many years to pass between visits. A vow I kept six months later, this time combining a short stay in the Mornington Peninsula with a long weekend in the city.

the Federation Square, Melbourne CBD
The city skyline in Melbourne CBD. (Image: Santiago Gonzalez Redondo)

The evolution of Melbourne’s hotel offerings

Dipping in and out of a place over decades makes its changes more acute, and there’s something wonderful about watching a city build on its potential. In a literal sense, Melbourne’s hotel scene has been quietly scaling new heights for the past 15 months with notable openings such as The StandardX, Lanson Place Parliament Gardens, Hyde Melbourne Place, and most recently, 1 Hotel Melbourne. The latter, a joint luxury development between the 1 Hotel brand and Melbourne-based Riverlee, has been a decade in the making. Set in the revitalised North Wharf precinct of Docklands along 220 metres of uninterrupted Yarra River frontage within Melbourne’s last remaining heritage goods shed, 1 Hotel Melbourne is an architectural marvel with a foundation firmly rooted in sustainability.

inside the river king room at 1 Hotel Melbourne
Inside a luxe suite at 1 Hotel Melbourne. (Image: Mikkel Vang)

The hotel features 277 tranquil guestrooms, including 36 suites. I’m staying in the spacious River Suite; it’s 51 square metres in size with floor-to-ceiling windows (85 per cent are openable) and a homely collection of plants (there are 7000-plus living plants featured throughout the hotel). Natural light floods the space, with commanding views of the Yarra River and Melbourne skyline. Wooden accents, beige-coloured furnishings and warm lighting create an atmosphere of elevated comfort. It’s like stepping into the pages of Architectural Digest. The commitment to biophilic design is palpable, with nature seamlessly blended into every space. Rather than your cookie-cutter hotel lobby and bar, the height and scale of the greenery immediately transport you to an indoor parkland. Reclaimed steel, bluestone and timbers from the state’s decommissioned rail bridges or salvaged wharf timber are repurposed into the lobby staircase and bedheads, room numbers and feature walls in the guestrooms.

Crane Bar at 1 Hotel Melbourne
Crane Bar at 1 Hotel Melbourne.

Guests are invited to participate in the brand’s purpose-driven ethos with small opportunities to give back to people and the planet thoughtfully designed into the room. There’s the ‘1 Less Thing’ wooden block on the bench prompting me to donate any clothes I’ve overpacked to the hotel’s local charity partner; the inbuilt shower timer encouraging me to save water; and the repurposed wine bottles, now a carafe and cup sitting on a cork mat letting me know that every drop of water at 1 Hotels is filtered (there’s a filtered water tap above the minibar for instant refills). Even the clothes hanger has a printed message: “Hang on to this thought. It takes about 700 gallons of water to produce one cotton shirt. That’s enough water for one person to drink three cups of water per day for three-and-a-half years." It could feel performative or like a soft rebuke, but it doesn’t. Instead, it feels achievable; a reminder that small changes made collectively can have a big impact.

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The new restaurants keep coming

oysters at From Here by Mike, Melbourne
Dine on hyper-seasonal food at From Here by Mike. (Image: Jamie Alexander)

The sustainable ethos continues downstairs with lunch at From Here by Mike. Helmed by renowned Australian chef Mike McEnearney, the signature hotel restaurant spotlights hyper-seasonal ingredients sourced from Victoria’s leading producers, farmers and fishers who share his values of authenticity, sustainability and ethical farming practices. The set lunch menu includes a choice of one main and two sides for $59 with optional additions. The poached Port Phillip Bay snapper arrives floating in a delicious fennel beurre blanc alongside grilled broccolini drizzled in macadamia cream and fried brussels sprouts with ricotta salata. I know I’ll be back as soon as I take the first mouthful.

But From Here by Mike is in good company. The sheer number of incredible dining experiences and cuisines available across the city continues to grow with other notable openings including Maison Bâtard from restaurateur Chris Lucas (Chin Chin, Society and Grill Americano), a sprawling four-level French dining destination with a two-level dining room, basement jazz club and rooftop bar. The tableside chocolate mousse trolley is unmissable.

Marmelo at Hyde Melbourne Place
Marmelo at Hyde Melbourne Place.

For a taste of the coastal cuisine of Portugal and Spain cooked over a custom-built charcoal grill and wood oven, find Marmelo underneath Hyde Melbourne Place. I recommend starting with the celeriac nata with picked and shelled spanner crab. Then there’s Askal, a modern Filipino restaurant inside a heritage building in Melbourne’s CBD. Expect an inventive take on traditional Filipino flavours and dishes.

Melbourne’s best day-trip destinations

the Alba Thermal Springs & Spa on the Mornington Peninsula
Alba Thermal Springs & Spa on the Mornington Peninsula. (Image: Supplied)

Melbourne isn’t just a destination; it’s also a jumping-off point to some of Victoria’s best regions. Think a road trip along the Great Ocean Road – it’s consistently voted Australia’s best road trip for a reason and it’s only 80 minutes away. But I’m headed in the opposite direction, out of the city to spa country on the Mornington Peninsula. Ninety minutes later, I’m soaking in a moon-shaped geothermal pool before checking into one of the five luxurious stand-alone villas that just opened at Alba Thermal Springs & Spa. The Sanctuary accommodation is the newest addition to the 15-hectare bathhouse and wellness destination.

bathtub view at The Sanctuary
Stay onsite at The Sanctuary. (Image: Katie Carlin)

I’m staying in one of three villas that feature an en suite with an oversized stone bathtub set in front of a floor-to-ceiling glass window. It means I’m treated to expansive views of the bay and native bushland while soaking in Alba’s signature bath salts – a blend of native Australian botanicals, moisturising oils and mineral-rich salts. My second-favourite feature (after the bath) is the indoor log fireplace that is set every evening by the concierge. Listening to the crackle of fire from the comfort of the king bed makes drifting off to sleep a breeze.

The seaside town of Sorrento, as well as world-class restaurants, wineries and pristine beaches, is all minutes away. It’s a complete wellness weekend getaway (if you count the wine as fruit). As for my next visit to Melbourne, I look forward to seeing the next phase of this vibrant city’s evolution. Hopefully sooner than expected.

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A traveller’s checklist

Staying there

1Hotel Melbourne at Docklands features rooms and suites, including connecting rooms and two-bedroom accommodation. It’s also pet-friendly. The luxe sustainable hotel has a restaurant, cafe and two bars, a spa and gym.

Alba Thermal Springs & Spa features standalone villas and two rooms nestled in the dunes above the springs for overnight stays. Entry to the hot springs, spa lounge, breakfast and transfers to the main building are included.

Playing there

inside the National Gallery of Victoria (NGV)
The renowned National Gallery of Victoria (NGV). (Image: Tourism Australia)

The Melbourne Arts Precinct around Birrarung/Yarra River is home to the Arts Centre, NGV International, Southbank Theatre, Australian Centre for Contemporary Art and more. Upgrades will be complete in 2028.

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Katie Carlin
Katie Carlin is Australian Traveller's Head of Content and when she’s not travelling or behind her computer, she’s hosting a dinner party (likely cooking an Alison Roman recipe), at brunch, working on extending her running k’s, or has her nose buried in a book. She joined Australian Traveller in 2018 and is responsible for leading the editorial team across print, digital, social, email and native content. Her job is to make sure we create content that connects readers to incredible experiences in Australia and beyond. In addition to sharing her expertise on travel through industry speaking engagements, Katie appears onToday, A Current Affair and various radio segments. With a BA in Communications majoring in Journalism and a career that has spanned roles at Fairfax Media and Are Media writing for titles such as The Sydney Morning Herald, The Age, and various lifestyle brands, she brings a wealth of experience to her role. Her most impactful trip to date has been swimming with whale sharks on Ningaloo Reef. For her next trip she is longing to experience the romance of train travel – hopefully on The Ghan or Indian Pacific.
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Incredible day spas and hot springs to visit in Victoria

    Katie Carlin Katie Carlin
    From geothermal pools and luxury spa sanctuaries, Victoria’s mineral-rich waters and restorative landscapes offer total renewal.

    I pass waving coastal spear-grass and coast saltbush as I follow the curving path through 15 hectares of thoughtfully curated gardens at the Mornington Peninsula’s Alba Thermal Springs & Spa. I hang my robe at the entrance and slip into the first sunken geothermal pool I find – feeling the tension from the 90-minute drive from Melbourne melt away as I watch steam dance across the surface in the late afternoon light. There are 31 pools, a mix of geothermal, cold plunge and botanical, that range in temperature and design, spread over six regions.

    a woman relaxing at Alba Thermal Springs & Spa on the Mornington Peninsula
    Alba Thermal Springs & Spa on the Mornington Peninsula. (Image: Visit Victoria)

    I gravitate toward The Hemisphere, with its dry sauna, steam room, cold plunge and dreamy open-air pool called The Hide. But it’s Alba’s brand-new Sanctuary that really elevates the experience. The five luxurious stand-alone villas and two additional studio rooms opened in June 2025 and feature an indoor fireplace, oversized bathtub with views across the bay, a deck and extensive all-inclusive (minus the cocktails) mini-bar.

    After dining at Alba’s Thyme restaurant, I return to my villa, content to fall asleep early listening to the fire crackle, feeling thoroughly restored. While Alba is one of the newest in the region, it’s certainly not the only place to enjoy a soothing soak. Here are others to book for a wellness weekend.

    Hepburn Bathhouse & Spa

    A woman bathes in the new Hepburn Bathhouse and Spa private bathing room with marble tiled walls
    The marble private bathing room is one of five new designs. (Image: Supplied)

    Nestled in the Daylesford region, Hepburn Bathhouse & Spa has been welcoming guests to its historic bathhouse for 130 years. With a $1.7 million renovation now complete (part of the 21st season of Channel 9’s The Block), find five new private bathing rooms, an apothecary experience where guests blend a custom body scrub and all-new spa treatment menu.

    There are three bathing areas: Bathhouse for communal bathing for all ages, adults-only Sanctuary and a private bathing space for a personalised experience – try the skin-softening Mineral Milk Bath.

    Lake House Daylesford

    the pool at Lake House Daylesford
    The main pool at Lake House Daylesford. (Image: Visit Victoria)

    Inciting deep exhales, the spa at Alla Wolf-Tasker’s iconic Lake House has long been a beacon of wellness in the region. Tucked into the cottage gardens that wind down to the lake’s edge, the spa is beautifully and deliberately cloistered away from guests and diners visiting the celebrated on-site restaurant.

    From Ayurvedic facials and hydrotherapy that makes use of Daylesford’s mineral waters, to cocooning thermal rituals and massage, treatments here promote tranquillity. While a day spa experience is delightful on its own, staying on the property adds a luxe layer to your corporeal renewal, especially if you’re in your own private spa villa.

    Metung Hot Springs

    the Metung Hot Springs' glamping tents by the river
    Glamping tents at Metung Hot Springs. (Image: Emily Godfrey)

    Imagine immersing yourself in a barrel overflowing with geothermal water, all while taking in views of Gippsland Lakes. It’s one of several unique bathing experiences available at Metung Hot Springs.

    There’s also a floating sauna and a Reflexology Walk constructed with carefully placed stones designed to stimulate the acupressure points in your feet as you walk. The 12-hectare site opened in 2022 with three bathing areas – Bathing Ridge, Lagoon Precinct and Hilltop Escarpment – and premium glamping tents that feature king-size beds and private bathing barrels.

    Four more blissful day spas to visit

    Lon Retreat & Spa is an award-winning, adults-only retreat on the Bellarine Peninsula.

    Deep Blue Hotel & Hot Springs features sensory caves and cleansing waterfalls in Warrnambool.

    Peninsula Hot Springs renews with 70 bathing and wellness experiences.

    The Benev is an indulgent spa and luxury accommodation in Beechworth.

    the Peninsula Hot Springs
    Bathe in beautiful surroundings at Peninsula Hot Springs. (Image: Tourism Australia/Harry Pope/Two Palms)