The Australian Grand Prix is back at Albert Park in March 2026, and if you haven’t sorted your accommodation yet, you’re already behind. I’m not saying that to stress you out. I’m saying it because it’s genuinely true. Hotels near the circuit get snapped up fast, and the ones that are still available a month out will cost you an arm, a leg, and probably a pit stop at the ATM.

Here’s the good news, though. Melbourne is a big, well-connected city, and you don’t need to be sleeping in the shadow of Turn 1 to have a great Grand Prix weekend. In fact, some of the better options are a tram ride away, significantly cheaper, and put you right in the middle of everything Melbourne has to offer after the engines stop for the day.

So let’s talk about where to actually stay.

If You Want to Be Right on the Circuit: Albert Park and South Melbourne

Anything overlooking Albert Park Lake is a great choice. We at WebOracle – a leading Melbourne Digital Marketing Agency, used to have an office on Albert Road, overlooking the lake and Grand Prix track. We had a great view, but it was very loud.

This is the obvious choice, and you’ll pay for it. The Pullman Melbourne Albert Park is the standout option here. It overlooks Albert Park Lake, it’s as close to the action as you’ll get without sleeping in a hospitality suite, and the rooms are genuinely good. The Mercure is connected to the same complex and gives you a slightly more affordable entry point if you still want that location without the full luxury price tag.

The catch with both is that they book out early, the prices spike significantly on race weekend, and you’ll be sharing the immediate area with a lot of F1 personnel and team staff who have arrangements locked in well ahead of any public sale. If you’re reading this article weeks before the race, check anyway. Cancellations happen.

Also worth a look in this zone is Quest St Kilda Road, which is a serviced apartment-style property sitting on the doorstep of the circuit. If you’re travelling with a group or just prefer having a kitchen and a bit more space, serviced apartments make a lot of sense over a Grand Prix weekend.

The Sweet Spot: Southbank and South Yarra

This is where I’d personally be looking if I was booking now. Southbank sits between the CBD and Albert Park, which means free trams run past your door on race weekend and you can walk to the venue if the weather holds. The Langham Melbourne is the prestige option here and it’s genuinely one of the better hotels in the city regardless of when you’re visiting. Crown Towers is right next to the casino complex if that scene appeals to you.

If you want something mid-range that still works really well, the Holiday Inn Express Melbourne Southbank and Mercure Melbourne Southbank are both solid. You’re not going to get a lake view, but you’re going to get a comfortable room at a price that won’t ruin the rest of your trip budget.

South Yarra is another excellent base. It’s walking distance to the circuit, the suburb is full of great cafes and restaurants for your downtime, and the accommodation options range from boutique hotels to serviced apartments. The Cullen in Prahran is a solid boutique pick if you want something with a bit more character than a chain hotel.

The Budget-Conscious Option: CBD and Docklands

The Melbourne CBD is about five kilometres from Albert Park, but free trams operate from Flinders Street Station and Southern Cross on race weekend, so the logistics are easier than they sound. The trade-off is that you’re further from the atmosphere on race night, but the upside is that you have the whole city at your disposal and the accommodation prices, while still elevated during the Grand Prix, are generally lower than the suburbs right next to the circuit.

Crown Promenade and Oaks Melbourne on Collins are good CBD picks with reliable quality. If you’re really watching the budget, Flinders Backpackers and similar properties are worth looking at, just book early because they fill up too.

Docklands is worth considering if you haven’t explored it before. It’s an hour’s walk to the circuit or a short Uber ride, and it’s a more relaxed area than people give it credit for. Quest NewQuay and the Melbourne Marriott Hotel Docklands are the two main options there.

The Airbnb Route

Melbourne has embraced short-stay rentals wholeheartedly, and there’s a genuinely good range of options in the Albert Park, South Yarra, St Kilda and Port Melbourne areas if you search early. A two-bedroom apartment near the circuit with a couple of mates can work out significantly cheaper per person than a hotel room, and having your own kitchen and living space after a full day at the track is genuinely appreciated. Just read the reviews carefully and make sure you’re not booking something that looks great in photos and turns out to be a 20-minute walk from the nearest tram stop.

A Few Things Worth Knowing

The F1 tax is real. Prices across the board go up on Grand Prix weekend, and there’s not much you can do about it except book early and accept it as part of the cost of the experience. The Australian dollar has been relatively weak against international currencies recently, which is actually decent news for visitors from the UK, Europe, and the US who are making the trip specifically for the race.

Get accommodation locked in before you sort your tickets if possible. The best hotels close to Albert Park have standing arrangements with F1 teams and are effectively unavailable to the general public regardless of what you’re willing to pay. The rest fill up fast once the race weekend draws near.

Melbourne’s tram network is excellent and free in the CBD zone. On race weekend, additional free services run to Albert Park. This genuinely opens up a wider range of suburbs as viable bases, so don’t limit your search to just the immediately adjacent areas.

Finally, book with free cancellation where possible. Grand Prix weekends have a habit of throwing surprises, from ticket issues to weather to the general chaos of 300,000 people descending on one corner of Melbourne for four days. Flexibility is worth the small premium.

The 2026 Australian Grand Prix runs from 6 to 8 March at Albert Park. Sort your accommodation now, enjoy the city, and we’ll see you at Turn 1.