At the tip of the Mornington Peninsula, this 1876 hotel sits above Port Phillip Bay with rooms and terraces angled at the water. The building has long been a Portsea landmark, and in the cooler months it leans into roaring fires, Sunday roasts and winter cocktails; in warmer weather the lawns, beach lounge and fire-pit seating come into their own. It suits guests who want a heritage seaside stay with the bay a few steps away rather than a corporate coastal resort.