Capella Sydney has been named the 2026 Hotel of the Year in the Gourmet Traveller Hotel and Travel Awards, now in its second year. The Sydney hotel leads a field of winners that reflects a broader shift in luxury travel away from traditional opulence and towards highly local, design-led and experience-driven hospitality.
Housed within Sydney’s meticulously restored former Department of Education building, Capella Sydney impressed judges with its blend of heritage architecture, exceptional service, significant Australian art collection and destination dining. Its ability to deliver world-class luxury while maintaining a strong sense of place secured the top honour in a year where authenticity emerged as a defining theme.
The Sydney property was joined by a diverse group of winners spanning city hotels, remote lodges, cruise lines, restaurants and bars. Among the standouts was Melbourne’s Hannah St Hotel, which claimed Best New Hotel. Opened in late 2025, the 188-room property was recognised for its vibrant interiors by David Flack, strong local identity and neighbourhood-focused approach, including collaborations with local food and beverage operators.
In the boutique category, Byron Bay’s Hotel Marvell took out Best Boutique Hotel. Our judges praised its understated “tropical brutalist” aesthetic, relaxed social spaces and rooftop bar, positioning it as a sophisticated alternative in a market often defined by backpacker culture and influencer-driven tourism.
Queensland featured prominently among this year’s winners. Hamilton Island newcomer The Sundays was named Resort of the Year, recognised for bringing a family-friendly luxury offering to the Whitsundays without compromising on design or dining. Nearby, The House at Lizard Island won our inaugural award for Best Luxury Lodge, celebrated for its exclusivity, private-chef experiences and spectacular setting on the edge of the Great Barrier Reef.
Remote destinations also received recognition, with Kittawa Lodge on Tasmania’s King Island taking out Best Regional Hotel, which is a new category in this year’s Hotel and Travel Awards. The off-grid retreat was applauded for its seamless combination of sustainability, privacy and immersion in the natural environment.
One of the strongest themes to emerge from this year’s awards was the growing importance of food and beverage within the hotel experience. Rather than serving as supporting amenities, restaurants and bars are increasingly becoming reasons to visit in their own right. Sydney restaurant Flaminia, located within Pullman Quay Grand, won Best Hotel Dining, while Curious, the theatrical cocktail bar beneath W Melbourne, was named Best Hotel Bar. Both were recognised for attracting locals as readily as hotel guests.
Judges also noted the continued rise of adaptive reuse and thoughtful reinvention. Elysium Noosa won Best Hotel Transformation in a highly competitive (and newly introduced) category, recognised for reimagining the former Sofitel Noosa Pacific Resort with a Mediterranean-inspired aesthetic and dining program that better reflect contemporary traveller expectations. Beyond hotels, Oceania Cruises was named Best Cruise Line, with judges citing its culinary credentials, destination-focused itineraries and commitment to smaller-scale luxury. The win underscores growing demand for travel experiences that prioritise depth, authenticity and connection over sheer scale.
This year, three categories were awarded by popular vote in our Readers’ Choice awards: Qantas was overwhelmingly chosen by Gourmet Traveller readers as Best Airline, Sofitel was the winner of Best Hotel Brand and the Australian start-up Luxury Escapes was awarded Best Tour Operator.
Across all categories, several clear trends emerged. Design remains important, but increasingly in service of storytelling and local connection rather than spectacle alone. Food and beverage offerings have become key differentiators. Smaller properties are competing successfully with global luxury brands by delivering distinctive experiences. And travellers are seeking greater immersion through culture, architecture, cuisine and landscape.
Taken together, this year’s winners suggest Australia’s luxury travel sector is entering a new phase, one in which a sense of place matters as much as five-star amenities. Capella Sydney may have claimed the top prize, but the broader results reveal an industry increasingly defined by character, community and connection.
2026 Hotel and Travel Awards
- Hotel of the Year: Capella Sydney
- Best New Hotel: Hannah St Hotel
- Best Boutique Hotel: Hotel Marvell
- Resort of the Year: The Sundays
- Best Luxury Lodge: The House at Lizard Island
- Hotel Transformation: Elysium Noosa
- Best Regional Hotel: Kittawa Lodge
- Best Hotel Dining: Flaminia
- Best Hotel Bar: Curious at W Melbourne
- Best Cruise Line: Oceania Cruises
Readers’ Choice Winners
- Best Hotel Brand: Sofitel
- Best Airline: Qantas
- Best Tour Operator: Luxury Escapes
All winners in the Gourmet Traveller Hotel and Travel Awards have been determined by Gourmet Traveller editor David Meagher, deputy editor Ceri David and digital editor Georgia Condon. We also sought input from our team of luxury food and travel industry experts including our Victoria state editor Michael Harden, Queensland state editor Elliot Baker, New South Wales state editor Alexandra Carlton and travel writer Carrie Hutchinson.
How we pick the Gourmet Traveller Hotel and Travel Awards winners
