In a nutshell

  • This guide helps you pick the right Stockholm neighborhood for your trip — with our top hotel picks for every budget in each area.
  • First-timers will love Gamla Stan with its medieval alleyways and famous sights right on the doorstep. Our top pick: Mälardrottningen Yacht — sleep on a ship in the heart of the old town.
  • For the cool, affordable side of Stockholm, Södermalm is the place. Our top pick: NOFO Hotel — super stylish décor, surrounded by great cafés and restaurants.
  • Want to shop in style and party at night? Östermalm is your neighborhood. Our top pick: The Sparrow Hotel — chic rooms, a fitness center, and a seriously good breakfast.

Which Stockholm neighborhood suits you best?

Which Stockholm neighborhood is right for you depends entirely on what you have planned in the city.

Are you after a romantic getaway, mainly interested in Stockholm’s top attractions, trying to keep hotel costs down, or keen to explore Stockholm off the beaten path?

Stockholm’s neighborhoods correspond more or less to its islands, and each one has its own distinct character and vibe.

We’ve handpicked the five most central neighborhoods for you. For each one you’ll find a link to Booking.com with all available hotels, plus our three picks for every budget.

The neighborhoods at a glance on a map

To help you get your bearings, we’ve marked our recommended neighborhoods for staying overnight in Stockholm on this map.

Neighborhoods in Stockholm that we recommend for staying overnight.

The Old Town

Staying in Gamla Stan

Gamla Stan hotel tips
The Gamla Stan neighborhood in Stockholm

Gamla Stan is old Stockholm — the kind you’ll find on every other postcard of the city.

Narrow medieval alleyways, colorful buildings, and romantic little squares filled with cafés and restaurants define the area, which is of course also pretty crowded with tourists.

Gamla Stan is home to many of Stockholm’s most famous sights, including the Royal Palace, the German Church, and the Storkyrkan.

If you stay here, you’ll have a lot right at your doorstep and are generally very well connected to the rest of the city. Some boat tours in Stockholm also depart from here.

The neighborhood’s popularity and proximity to the highlights naturally come at a price.

Our hotel picks in Gamla Stan

Good and affordable

Better

Luxurious

The Elegant Quarter

Staying in Östermalm

The Östermalm neighborhood in Stockholm
The Östermalm neighborhood in Stockholm

Östermalm is arguably Stockholm’s most elegant neighborhood, and also where you’ll find the largest hotels.

The wide boulevard streets are great for a shopping stroll too — as long as you’re ready for the exclusive boutique price tags.

The area is also a solid choice for a night out: between Östermalm and Norrmalm you’ll find Stockholm’s nightlife hub, with plenty of bars, restaurants, and clubs.

So if you want to go out in the evenings and don’t want your accommodation too far away, looking for a place to stay in Östermalm is definitely worth it.

Our hotel picks in Östermalm

Good and affordable

Better

Luxurious

The Hip Quarter

Staying in Södermalm

The Södermalm neighborhood in Stockholm
The Södermalm neighborhood in Stockholm

Södermalm is hands-down the hippest and most characterful neighborhood in Stockholm. It’s packed with cafés and restaurants at far more affordable prices than in the northern parts of the city — think global cuisine, creative cocktails, and small but excellent shops run by young designers, alternative artisans, and plenty of second-hand stores.

The crowd is generally young and lively, and as befits the coolest neighborhood in the city, nightlife options are plentiful.

In Södermalm you can take a lovely stroll along the Monteliusvägen with a homemade waffle and a freshly brewed fair trade coffee, soak in the views over the bay, and spend the evening at one of the many beer gardens or restaurants.

Even though the area is especially popular with locals, accommodation prices are still reasonable by Swedish standards. There are also far more hostels here than in other parts of the city.

Our tip: Book one of the boat hotels anchored north of the island — seriously one of the coolest places to sleep in Stockholm!

We stayed in Södermalm ourselves and would happily go back whenever we visit Stockholm.

Our hotel picks in Södermalm

Good and affordable

Better

Luxurious

The Quiet Quarter

Staying in Kungsholmen

The Kungsholmen neighborhood in Stockholm
The Kungsholmen neighborhood in Stockholm

Kungsholmen sits on the island of the same name, not far from Stockholm Central Station. The name means “King’s Island” and it’s primarily a quiet residential area.

If you’re after constant entertainment or sightseeing, you’ll likely be disappointed here.

That said, the island is ideal if you want a few relaxed days with long walks along the waterfront, kayaking in the bay, or a visit to the two beaches Smedsuddsbadet and Fredhällsbadet.

Prices here are clearly lower than in the rest of the city — for both food and lodging.

And since Stockholm’s central areas are pretty quick to reach from here, it can be really worth considering.

Our hotel picks in Kungsholmen

Good and affordable

Better

The Modern Quarter

Staying in Norrmalm

The Norrmalm neighborhood in Stockholm
The Norrmalm neighborhood in Stockholm

Norrmalm is the most central and modern neighborhood in Stockholm, and also where you’ll find the main train station and the Arlanda Express, which runs directly to the airport. The main artery is Drottninggatan, lined with most of the hotels, plus plenty of restaurants and stylish fashion stores.

The area is considered Stockholm’s shopping hub — busy day and night and popular with tourists. Key points of interest include the Kulturhuset, the National Museum, and Kungsträdgården, Stockholm’s central park.

Norrmalm isn’t exactly the most characterful part of the city — most buildings are modern and the whole neighborhood has a somewhat anonymous, commercial feel. That said, a hotel here is a smart choice if you want a super central location, the widest selection of places to stay, and a quick walk to the main train station.

Our hotel picks in Norrmalm

Good and affordable

Better

Luxurious