2 Best Hotels in The Rocks, Sydney

More English country manor than inner-city hotel, this gorgeous property feels like a decadent, luxurious sanctuary. Previously called The Observatory, the hotel was taken over in 2013 by Langham Hotels, a British brand with many upscale hotels in its portfolio. Little has changed with the exception of new beds, known as Langham blissful beds (each with a custom-made feather topper) in each suite and guest room. The spacious rooms, with their Venetian- and Asian-inspired decor, have mahogany furnishings, antique reproductions, plush fabric, and some suites have four-poster beds. The spectacular indoor pool is surrounded by marble and potted palms, with a fresco of Van Gogh's The Starry Night on the ceiling. Taking afternoon tea in the Palm Court is a sophisticated delight (A$55). The hotel's single weakness is its lack of views, but that's like saying the Mona Lisa's single weakness is her crooked smile.

Towering above Walsh Bay from its prime position alongside the Sydney Harbour Bridge, this sleek hotel is the place for a room with a bird's-eye view. North-facing rooms overlooking the water are the best; views on the other sides—Darling Harbour, the city, or the eastern suburbs—are less impressive. Rooms are large, modestly opulent, and decorated in pleasing autumnal colors. All have complimentary Wi-Fi. With a private bar and lounge, the Horizon Club floor has impeccable service, with a host to look after your needs. Altitude restaurant and the adjacent Blu Bar at 36 (on the 36th floor) provide terrific views of Sydney Harbour, especially in the evening. There's also an Asian-inspired day spa called CHI, the first of its kind in Australia. Look for deals on one-night stays over weekends.