Standing with quiet grandeur in the heart of Circular Quay, Capella Sydney – the first Aussie outpost of the acclaimed global hotel brand – has made quite a splash in the two years it’s been open. Just a year after opening, the grand city hotel made AFAR’s list of the 31 best hotels in the world, and this year alone it’s been crowned Australia’s Best City Hotel in the prestigious Travel and Leisure hotel awards, and Australia’s second-best hotel in Condé Nast’s annual Readers’ Choice Awards. And Capella isn’t stopping there.
Last week, this year’s official round-up of the world’s most high-end hotels for 2025 was released, and the heritage-listed Sydney stay was among two Aussie properties to make the list.
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Much like their recently released Best Bars ranking, the World’s 50 Best Hotels celebrates luxury hospitality providers around the world that go above and beyond for their guests. Now in its third edition, the list is determined by votes from more than 800 anonymous experts, including hoteliers, travel journalists, educators and luxury travellers globally.
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In 2025, Capella Sydney made its grand debut on the World’s 50 Best Hotels list, landing in a super impressive 12th spot. It was the highest-ranked hotel not only in Australia, but across the entire Oceania region.
Housed in the heritage-listed Department of Education building just steps from Sydney Harbour, this sandstone masterpiece features 192 thoughtfully designed guestrooms and suites, each with soaring ceilings, bespoke furnishings and a curated collection of Aussie artwork. What truly sets Capella Sydney apart, however, is its hyper-personalised service: dedicated Capella Culturists – concierge-butler extraordinaires – craft bespoke experiences and tailor every stay to the guest’s individual preferences. Time Out Australia’s Editor-in-Chief, Alice Ellis, can confirm: it’s the best hotel she’s ever stayed in.
“This is quiet, confident, understated elegance. Every single detail has been thoughtfully considered. Everything is beautiful, yet also practical and has been designed with guest comfort at the forefront. This is a new level of luxury I haven’t experienced before.”
For the third year running, Brisbane’s The Calile Hotel secured a spot in the top 50 – the only hotel in the Oceania region to be included every year since the awards began. It landed 34th in 2025, after placing 12th in 2023 and 25th in 2024.
This year, the World’s 50 Best went one step further, releasing a longlist of the 51-100 top hotels for the first time ever. Kangaroo Island’s Southern Ocean Lodge was the only Australian property to feature, landing in 69th place, while also taking home the new American Express Travel One To Watch Award.
You can see the full list of winners (and update your bucket list accordingly) over here.
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