Where to Stay in Penang
Penang is one of Southeast Asia’s most captivating islands and one of my favourite places in the world to visit. Penang has an intoxicating blend of colonial history, beautiful beaches, verdant rainforests, and a world-renowned reputation as the food capital of Malaysia.
I’ve visited Penang several times over the past few years. Most recently, in March 2026.
I believe that deciding where to stay on Penang can completely transform your experience. So, if you’re currently researching or planning a trip to Penang and not sure where to stay on Penang, this guide will help you to choose the best area and accommodation for your travel style.
WHERE TO STAY IN PENANG
Many visitors to Penang will want to stay in beautiful and historic George Town, with its UNESCO World Heritage charm and this is a great choice, but there are other areas where visitors also love to stay that are perhaps quieter, more contemporary, less expensive, more expensive, or simply on the beach rather than in town.
For example, if you want to stay close to George Town but in a more contemporary location, then you might choose to stay in Gurney Bay (Teluk Gurney). Those who just want to chill out on the coast will choose to stay at a hotel or a resort at Batu Ferrringhi. Staying in Tanjung Tokong or Tanjung Bungah – nestled right between the historic vibe of George Town and the relaxing beaches of Batu Ferringhi – to enjoy the best of both worlds without losing quick access to the rest of the island.
And, those who love to be at one with nature and the mountains will enjoy staying beyond the urban sprawl and close to the National Park, the tranquil hiking trails of Penang Hill (Bukit Bendera) and the lush rainforest trails.
TABLE OF CONTENTS
- WHERE TO STAY IN PENANG
- WHERE TO STAY IN GEORGE TOWN PENANG
- FIND YOUR PERFECT PLACE TO STAY IN GEORGE TOWN
- WHERE TO STAY IN GURNEY BAY (TELUK GURNEY) IN PENANG
- FIND YOUR PERFCT PLACE TO STAY IN GURNEY BAY
- WHERE TO STAY IN TANJUNG TOKONG AND BUNGAH PENANG
- WHERE TO STAY IN BATU FERRINGHI PENANG
- FIND YOUR PERFCT PLACE TO STAY IN BATU FERRINGHI
- WHERE TO STAY IN PENANG HILL
- WHERE TO STAY AT HILLSIDE TOWN PENANG
- WHERE TO STAY IN TELUK BAHANG PENANG
- THE BACKPACKING HOUSEWIFE ON PENANG
WHERE TO STAY IN GEORGE TOWN PENANG
George Town (The UNESCO Heritage Zone) is certainly the best choice for first-time visitors, history buffs, and those who want to be in the centre of the action. George Town is energetic, historic, and culturally rich. You can step right out of your choice of accomodation to world-famous street art, historic clan jetties, old shophouses, and bougie cafes. It is completely walkable. You can explore Little India and then head over to Chulia Street & Love Lane for bougie bars and a vibrant nightlife. BUT it can be very busy with noisy traffic and it lacks the open modern spaces found further north.
During my most recent visit I stayed in Georgetown at the mid-priced Royale Chulan Hotel. Previously in Penang and during two other separate visits, I’ve stayed in George Town in luxury at The Prestige and I’ve also stayed on a budget at 24 Kimberly hostel in a private room. George Town really does have accomodation for all budgets and travel styles.
WHERE TO STAY IN GEORGE TOWN PENANG
Check out these hotels for more details, photos, room options, and rates.
FIND YOUR PERFECT PLACE TO STAY IN GEORGE TOWN
WHERE TO STAY IN GURNEY BAY (TELUK GURNEY) IN PENANG
Gurney Bay (Teluk Gurney) is best for families and those who like luxury travel with high-end shopping and dining. Gurney offers an upscale, modern, high-energy waterfront area that is home to large luxury shopping malls like Gurney Plaza, a seafront promenade, and a legendary open-air hawker food centre. BUT accommodation is on the expensive side here and you can expect traffic congestion especially in the evenings.
FIND YOUR PERFCT PLACE TO STAY IN GURNEY BAY
Check out these hotels for more details, photos, room options, and rates.
WHERE TO STAY IN TANJUNG TOKONG AND BUNGAH PENANG
Tanjung Tokong sits right between George Town and the beaches and features the upscale Straits Quay Marina with modern high-rise apartments and stunning sea views. Best for digital nomads, medium-term stays, and travellers who want high-end comfort away from city crowds. BUT you will likely need a car, scooter, ride-share or a Grab taxi to get around easily.
Check out these hotels for more details, photos, room options, and rates.
Tanjung Bungah is a quiet, community-focused, and laid-back beach town with peaceful public beaches, great water sports (kayaking, jet-skiing), and a strong local neighbourhood feel with hidden cafes and wet markets. Best for expat living, families with children, and travellers seeking slow relaxing travel. BUT the water is not recommended for swimming due to jellyfish and it is a twenty minute drive to George Town.
Check out these hotels for more details, photos, room options, and rates.
WHERE TO STAY IN BATU FERRINGHI PENANG
Batu Ferringhi is the ultimate tourist beach resort strip as it’s lined with international hotels and five star beach resorts so it’s best for beach resort lovers, families looking for pool resorts, and nature lovers. There’s water sports, a vibrant night market, and the best sunset views on the island. It is also the closest area to Penang National Park. I once stayed here at a beach resort for a few days and it was wonderful and the seafood here is fantastic. BUT it is highly commercialised, expect to pay ‘tourist-priced’ food and a thirty to forty five minute drive into George Town.
FIND YOUR PERFCT PLACE TO STAY IN BATU FERRINGHI
WHERE TO STAY IN PENANG HILL
Penang Hill (Bukit Bendera) offers a peaceful and cooler mountain retreat surrounded by ancient rainforest. Best for nature enthusiasts, couples seeking a secluded retreat, and hikers. Staying at the top gives you breathtaking panoramic views of the island and quiet mornings before the daily tourists arrive via the funicular railway. You’ll have immediate access to The Habitat at Penang Hill with its world-class ecotourism park with canopy walks. BUT there are limited accommodation options and you’re reliant on the funicular train to get up and down the hill, which makes evening trips into town difficult.
Check out this hotel for more details, photos, room options, and rates.
WHERE TO STAY AT HILLSIDE TOWN PENANG
Ayer Itam (The Hillside Town) is a busy (can be chaotic) and highly authentic local town sitting at the base of Penang Hill, which puts you at the gateway to both Penang Hill and the stunning Kek Lok Si Temple. This area offers some of the cheapest accommodations and best local street food on the island. Best for budget travellers and culturally curious visitors who want to hike the hill trails from the bottom to the top. BUT it is a heavily congested with traffic and it has no nightlife, making it necessary to drive or take a Grab taxi into town.
Check out this hotel for more details, photos, room options, and rates.
WHERE TO STAY IN TELUK BAHANG PENANG
Teluk Bahang is an untouched rustic fishing village where the dense rainforest directly meets the sea located at the far north western tip of the island. Best for active families, adventure seekers, and eco-tourists who want to explore deep jungle and wildlife as this is the entry point into the Penang National Park.
Here you can hike through pristine jungle to remote beaches like Monkey Beach or Turtle Beach. It is also home to the Entopia Butterfly Farm and The ESCAPE adventure and water park. BUT this area is quite remote and so an approximate sixty minute drive to reach George Town.
Check out this hotel for more details, photos, room options, and rates.
THE BACKPACKING HOUSEWIFE ON PENANG
THE RESOURCES I USE TO PLAN AND BOOK MY TRAVEL ITINERARIES
SKYSCANNER .NET – I use Skyscanner website as a search engine to find and compare flights and source best flights. But I believe it’s always important to book the flight you’ve selected directly with the airline – as if anything goes wrong you are dealing directly with the airline rather than a third party agent.
TRIPADVISOR UK or TRIPADVISOR .COM – to read reviews and research hotels, things to do, local restaurants etc.
BOOKING.COM – this is my favourite for booking site for hotels and accomodation. I use the Booking.com App on my phone to reserve and to book – it’s quick and easy and I often choose the free cancellation period option in case I change my mind and rebook. I have achieved ‘genius’ level through my (hundreds) of bookings over the years. This often gives me discounts and perks like free breakfasts and room upgrades in selected accommodations. I’ve never had any problems or issues with Booking Dotcom so I’m happy to recommend booking with them.
EXPEDIA UK – travel site for booking flights, accommodations, holiday packages, car hire and more.
AGODA .COM – travel site for booking hotels and transport and things to do at your destination.
HOTELS .COM – booking site for hotel accommodation.
VRBO .COM – booking site for hotels and accommodation.
KLOOK.COM – this is my favourite attraction ticket website – I use the App on my phone – to easily book tickets and tours.
GET YOUR GUIDE – discover and book things to do and tours at your destination.
TOURRADAR – If you don’t want to book everything independently and would rather have the planning done for you and would prefer a guided adventure as part of a group then I will suggest taking a look at TourRadar. I’m associated with TourRadar and they have a fabulous choice of tours and holidays and cruises all over the world at really great prices. I’m looking at booking some of their tours for myself next year. Booking through my highlighted link automatically gives you another £$50 off! If you’d like to discuss specific tours with me then get in touch and I’ll do my best to advise you.
