Looking for the best hotels in Penang? Whether you’re planning a cultural getaway to George Town, a relaxing beach holiday in Batu Ferringhi, or a foodie escape (because, hello, Char Kway Teow!) — Penang has something for everyone. In this guide, we break down the top hotels in Penang by category: luxury, mid-range, budget, and boutique stays. Plus, all options are handpicked for comfort, location, and value!
Lost Paradise – Penang
Ideal For: Couples, solo travelers, families, digital nomads, and foodies
Why Stay in Penang?
Penang is one of Malaysia’s most dynamic states — known for its UNESCO World Heritage Site (George Town), vibrant street food, stunning colonial architecture, and beaches. Whether you want street art or sea breeze, Penang delivers. (Best Hotels in Penang)

Best Luxury Hotels in Penang
1. Eastern & Oriental Hotel – George Town

Heritage lovers, romantic getaways
Starting from: RM500+ per night
This iconic colonial-era hotel is Penang royalty. Built in the 1880s, the E&O offers ocean views, a saltwater pool, and the classiest afternoon tea in town. Think polished teak floors, vintage charm, and timeless luxury. (Best Hotels in Penang)
📍 Location: George Town
📸 Image Alt Text: Eastern & Oriental Hotel colonial architecture Penang
2. Shangri-La’s Rasa Sayang Resort & Spa – Batu Ferringhi

Beach escapes, honeymooners
Starting from: RM600+ per night
Nestled in lush gardens along the beach, this 5-star retreat offers a top-tier spa, private beach access, and serene vibes. The breakfast buffet? Legendary. (Best Hotels in Penang)
📍 Location: Batu Ferringhi
📸 Image Alt Text: Shangri-La Rasa Sayang beach resort Penang
3. The Prestige Hotel – George Town

Modern luxury with heritage flair
Starting from: RM450+ per night
Boutique meets bold design at this polished hotel that gives off a sleek “Great Gatsby” energy. Walking distance to murals, cafés, and historic streets. (Best Hotels in Penang)
📍 Location: George Town
📸 Image Alt Text: The Prestige Hotel modern interior Penang
Best Mid-Range Hotels in Penang
4. Hotel NEO+ Penang by ASTON

Business trips, city explorers
Starting from: RM200–RM300 per night
Contemporary rooms, rooftop pool, and a central location. Great for digital nomads or short-term stays with clean, modern touches. (Best Hotels in Penang)
📍 Location: George Town
📸 Image Alt Text: Hotel NEO+ rooftop pool Penang
5. Areca Hotel Penang

Families, history buffs
Starting from: RM250+ per night
A restored heritage building with family rooms, a charming courtyard café, and a cozy vibe. Bonus: Free afternoon tea! (Best Hotels in Penang)
📍 Location: George Town
📸 Image Alt Text: Areca Hotel heritage courtyard Penang
6. Lone Pine Hotel

Quiet beachside stays without the resort price
Starting from: RM350–RM400 per night
One of the original beach hotels in Batu Ferringhi, this boutique property has big rooms, a peaceful pool, and a charming old-world beach vibe.
📍 Location: Batu Ferringhi
📸 Image Alt Text: Lone Pine Hotel beachfront pool Penang
Best Budget Hotels in Penang
7. Tune Hotel George Town

Backpackers, short stays
Starting from: RM90–RM130 per night
Clean, simple, and smack in the middle of the action. Ideal for those who want to explore by day and save on sleep.
📍 Location: George Town
📸 Image Alt Text: Tune Hotel budget stay Penang
8. Reunion Heritage House

Cultural vibes on a budget
Starting from: RM120–RM180 per night
Budget-friendly boutique hotel in a charming shophouse. Friendly service, historical touches, and walking distance to Chulia Street eats.
📍 Location: George Town
📸 Image Alt Text: Reunion Heritage House boutique Penang
9. Rasa Motel – Batu Ferringhi

Budget beachgoers
Starting from: RM90+ per night
Simple, local-style motel that’s steps from the beach and restaurants. Don’t expect fancy, but it’s comfy, clean, and well-located.
📍 Location: Batu Ferringhi
📸 Image Alt Text: Rasa Motel budget beach hotel Penang
Best Boutique Hotels in Penang
10. Cheong Fatt Tze – The Blue Mansion

Cultural immersion
Starting from: RM450+ per night
Sleep in a historic Chinese courtyard mansion that’s both a museum and hotel. It’s like living in a movie set. Guided tours available for guests.
📍 Location: George Town
📸 Image Alt Text: Blue Mansion boutique hotel Penang
11. Macalister Mansion

Art lovers, unique design
Starting from: RM600+ per night
One of the most Instagrammable hotels in Penang. Every room is a design statement. Includes a classy restaurant and bar.
📍 Location: George Town
📸 Image Alt Text: Macalister Mansion artistic hotel Penang
Hotel Areas: Where Should You Stay in Penang?
Area | Best For |
---|---|
George Town | Culture, heritage, food, budget-friendly stays |
Batu Ferringhi | Beach vibes, resorts, relaxation |
Tanjung Bungah | Quiet, suburban feel with sea views |
Gelugor/Bayan Lepas | Business travel, airport access |
Final Thoughts: Best Hotels in Penang
Whether you’re in Penang to snap murals, chase sunsets, or simply devour plate after plate of Nasi Kandar — the right hotel makes all the difference. From boutique charm to budget basics, there’s a perfect stay waiting for you.
💡 Pro Tip: Book in advance during holidays and school breaks. Penang gets busy!
📍 Visit Penang Tourism Website for more information.
Useful Links
- Lost Paradise – Penang
- Cycling Without Borders to Help Families Beat Medical
- Earn Passive income
- Malaysia Travel Tips for First-Timers
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[Best Hotels in Penang – Roman and Fizah – Travel Blogger – Malaysia travel tips – Travel to Penang – Penang Travel Tips – Travel to Malaysia]