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Where to stay in Koror: downtown, Malakal, the resort side or Airai

Where to stay in Koror, Palau: downtown for logistics, Malakal for early boats, Ngerkebesang for a resort stay, Airai for the airport. Transit and who each base suits.

Written byAna Tuilagi
Reviewed byLinh Tran
Updated Oct 4, 202610 min readWe may earn a commission. It never decides our picks.
A large body of water surrounded by mountainsA large body of water surrounded by mountains, Koror
In short

Stay in downtown Koror for a first trip, because hotels, tour operators and restaurants sit close together and tours pick up there. Choose Malakal if you dive or want the shortest transfer to the boats, Ngerkebesang for a quieter resort stay, and Airai only for late arrivals or a land-focused trip. The airport is across the Japan-Palau Friendship Bridge on Babeldaob.

Our picks at a glance

OptionBest forTransitPrice bandCheck price
Downtown KororFirst visit, logisticsTaxi, tour pickups$–$$See price
MalakalDivers, early boatsRoad to Koror; boats nearby$$See price
NgerkebesangCouples, resort staysTaxi or rental car$$$See price
Airai and BabeldaobLate arrivals, land toursCar; bridge to Koror$–$$See price
  • Downtown KororFirst visit, logistics · Taxi, tour pickups · $–$$See price
  • MalakalDivers, early boats · Road to Koror; boats nearby · $$See price
  • NgerkebesangCouples, resort stays · Taxi or rental car · $$$See price
  • Airai and BabeldaobLate arrivals, land tours · Car; bridge to Koror · $–$$See price

We may earn a commission. It never decides our picks.

How to choose a base in Koror

Palau's visitor infrastructure is concentrated in one place. The Palau Visitors Authority says the international airport is in Airai State on the big island of Babeldaob, while many hotels, resorts and the tour operators are in Koror, joined to Babeldaob by the Japan-Palau Friendship Bridge. The Koror travel guide covers what to do; this page settles where to sleep, and how that choice fits a wider Palau trip. For a first visit the answer is downtown Koror, with Malakal for divers and the resort side for a quieter stay.

Three questions decide the choice. The first is whether your days are on the water or on land. Rock Islands tours and dive trips start in Koror, so a base there cuts transfers. The second is how you like to spend evenings: Koror has restaurants and a small nightlife scene, while the resort side and Babeldaob are quiet. The third is how you move around. Tours pick you up, taxis cover short hops, and a rental car is useful on Babeldaob but less so in town. The UK government warns that roads are unlit at night and that drivers often overtake despite the ban, so build a plan that avoids driving after dark.

Price bands below are per night for a double room: $ is a simple hotel or guesthouse, $$ a mid-range hotel, $$$ an upscale resort. No exact rates are quoted because they vary by property and season, and Palau's costs move with flights and dive demand. Check the final total, and ask whether permits, transfers or breakfast are included.

Numbers match the sections below.

1. Downtown Koror

Best for
First visit, logistics
Transit
Taxis, tour pickups
To airport
Across the Friendship Bridge to Airai
Price band
$–$$

Downtown is the practical base. The tourism authority describes Koror as the place where most hotels, resorts and tour operators are, and a stay here means tour offices, dive shops, restaurants and the hospital are all within a short ride. Belau National Hospital, which has the country's only hyperbaric chamber, is in Koror, and the UK government says the chamber is less than two hours from most locations. If you dive, that matters. Most Rock Islands boat tours collect guests from hotels around town, so you rarely need your own transport for the day.

Downtown also gives the widest choice of rooms, from simple hotels to mid-range properties and bed-and-breakfasts, which the official site lists alongside resorts and liveaboards. It is the base with the best signal for work or calls: the tourism authority says wifi hotspots are widely available in Koror and that the national carrier's 4G and 3G coverage reaches Koror and other states. A visitor eSIM can be bought online before arrival, and the carrier offers free wifi at the airport terminal to connect it, according to the same source.

The trade-off is atmosphere and beaches. Koror is a working town, not a beach resort, and swimming happens from boats, not from the hotel. If you want sand at the door, look at the resort side. Take care with cards: the UK government reports an increase in credit card fraud, including skimming devices, so watch where you pay and monitor your statement. The official site says US dollars are the currency and that Visa, JCB and Mastercard are widely accepted, though carrying cash is wise.

Skip if you want a beach at your door. The resort side or a Rock Islands day is the answer.

A good pick when tour pickups and restaurants matter more than a beach at your door

Best fit4-star hotel, $$$

West Plaza Hotel at Lebuu Street

  • Pro: Tour pickups and restaurants nearby
  • Pro: 4-star stay, rated 8.9/10 by guests
  • Con: Only 36 guest reviews

We may earn a commission. It never decides our picks.

2. Malakal

Best for
Divers, early boats
Transit
Road and causeway to Koror
To airport
Via Koror and the bridge
Price band
$$

Malakal is part of the island of Koror, connected by road and causeway, according to Koror State's regulations, and it is where the state's rangers keep their station. That office sells Rock Island Use and Jellyfish Lake permits and handles boat registration, which makes Malakal the working harbor of the lagoon. A base here puts you closest to the boats, which helps on days with an early start and shortens the transfer at the end of a long day on the water.

A large body of water surrounded by mountains, Koror
A large body of water surrounded by mountains, Koror

This is the divers' choice. Dive days start early and finish tired, and a short ride to the harbor is worth more than a restaurant strip. Ask each property how it handles early breakfasts, gear drying and storage, since those matter more than a lobby on a dive trip. The cost is evening choice. Malakal has fewer restaurants and shops within walking distance, so dinners usually mean a taxi to downtown. Check how your hotel arranges meals and whether it offers a shuttle.

If you plan to combine Rock Islands days with Babeldaob days, Malakal is still workable, because the road runs through Koror to the bridge. Allow extra time at both ends, and confirm pickup points with your operator. As with any base, ask what is included in the tour price: the Koror State fact sheet says permits can be bought through most tour operators, so ask whether your operator includes them in the price.

Skip if you want evening choice within walking distance. Downtown Koror has far more restaurants and shops.

If you want a base in Malakal, this hotel is 0.8 km from the area centre

Best fit3-star hotel, $$$

Sea Passion Hotel

  • Pro: Guest score of 8.4/10 from 133 reviews
  • Pro: Three-star stay in Malakal
  • Con: Only 133 guest reviews

We may earn a commission. It never decides our picks.

3. Ngerkebesang

Best for
Couples, resort stays
Transit
Taxi or rental car
To airport
Road across Koror and the bridge
Price band
$$$

Ngerkebesang is the island on Koror's west side that holds the resort-style stays. Koror State protects a conservation zone on its western shore, next to a resort, as a snorkeling and swimming attraction for resort guests, and it is illegal to take or disturb any flora or fauna there. That makes this the base for visitors who want a beach-style stay with calm evenings, and it suits couples, honeymooners and travelers who want a resort feel before or after Rock Islands days.

The trade-off is distance from town. Dinners, shops and tour offices are a taxi or car ride away, so budget for transfers and plan a few restaurant nights rather than expecting to wander. Tours will still collect you, and many resorts run their own desks. It is a sensible base for a few nights at the end of a trip, once you have done the early-start dive and boat days from a more central base. The tourism authority lists resorts alongside bed-and-breakfasts and liveaboards, so check what each type includes.

Plan transport ahead. The authority's site lists taxi services and car rental options, and an operator guide to taxis covers vehicle types and contacts. If you rent a car, note that the UK government says a UK photocard license can be used for up to 30 days and that paper licenses may need an update or an international driving permit; see the international driving permit guide.

Skip if you want to walk to shops and restaurants. Downtown Koror is the walking base.

If you want a four-star stay close to Ngerkebesang’s centre, this one is nearby

Best fit4-star hotel, $$$$

Palau Pacific Resort

  • Pro: Ngerkebesang centre is 0.6 km away
  • Pro: Guest score of 8.5/10 from 176 reviews

We may earn a commission. It never decides our picks.

4. Airai and Babeldaob

Best for
Late arrivals, land tours
Transit
Rental car; highway circles the island
To airport
The airport is in Airai State
Price band
$–$$

Airai is where the international airport sits, on Babeldaob, the largest island. The tourism authority says a sealed highway circles Babeldaob up to the tip of Ngarchelong State, so a base here suits a land-focused trip: chiefs' meeting houses, stone terraces, waterfalls and war sites. Its seven-day plan places the first cultural day in Airai, with a visit to a traditional meeting house and a traditional-style lunch, so the area has real attractions beyond being near the runway.

For most visitors this is a one-night base, not a stay. If your flight lands late or leaves early, a night near the airport saves a rush, but you give up the restaurants and the boat departures. A longer stay works only if you plan a car and mainly land tours. The UK government warns of narrow, damaged inland roads in the wet season and says to avoid driving after dark, so keep daylight for transfers.

Check the weather. The UK advice says rainfall is higher from April to November and peaks in July and August, when severe downpours can flood and damage roads. That makes a rural base riskier in the wet months. Check with your host about road access, and ask whether the property offers transfers to Koror for boat days.

Skip if your days are mostly boat tours from Koror. Staying in Koror removes a daily transfer.

Worth it if the land sites matter more than daily boat trips from Koror.

Best fitGuesthouse, $–$$

Airai, Palau

  • Pro: Near the airport and land sites
  • Pro: Quiet nights
  • Con: Long transfers to the Rock Islands boats

We may earn a commission. It never decides our picks.

Quick picks by traveler type

First-timers: downtown Koror. Divers: Malakal, or a liveaboard if you want more time on the water. Couples marking an occasion: Ngerkebesang. Travelers with a late arrival or an early departure: one night near the airport in Airai, then Koror. Families: downtown, where meals and the hospital are close. Land-tour fans: a few nights on Babeldaob with a rental car, then Koror for boat days. For help choosing days on the water, read the Rock Islands day tour guide.

Choosing by length of stay

One or two nights work best downtown, because you land, rest and start a boat day with minimal transfers. Three or more nights suit a split: two or three in Koror for lagoon days, then one or two on the resort side or in Airai. The official seven-day plan, covered in how many days in Palau, uses a single base in Koror with day trips, which is the least tiring way to see the country.

A group of people standing on a dock at sunset, Koror
A group of people standing on a dock at sunset, Koror

Mistakes to avoid

The first is booking near the airport for atmosphere: Airai is convenient, not scenic. The second is choosing a resort without checking taxi costs for dinners. The third is renting a car for the whole stay when tours pick you up. The fourth is forgetting the entry form: submit it online, and keep the QR code to show at check-in. The fifth is arriving with banned sunscreen, which customs confiscates; see Palau for the rule.

The last is skipping insurance. The UK government says to hold comprehensive cover with medical evacuation that covers your planned activities, and it warns that diving standards can differ from those at home. Compare options in the travel insurance guide, and check what the policy says about depth limits and decompression treatment.

Booking tips for Koror

Book your base and your tours together, since operators can arrange pickups from the hotel. Ask about permits: the Koror State fact sheet lists a Rock Island Use permit and a Jellyfish Lake permit, and says they can be bought at the Rangers' office, at the state treasury and through most tour operators. Confirm the entry rules for your passport; the UK government says UK passport holders can get a 30-day visa on arrival and need a passport valid six months beyond arrival with two blank pages. Visit the official visas and entry guide for other passports.

Set up connectivity before you fly with the phones and data guide, carry some cash in US dollars for small purchases, and read money in Palau for card tips. Tipping is optional but appreciated, according to the tourism authority.

FAQ

Where is the best place to stay in Palau?

Koror, for most visitors. The official tourism site says many hotels, resorts and all the main tour operators are there, while the airport is in Airai on Babeldaob. Downtown suits first trips, Malakal suits divers, and the resort side suits quiet stays.

Should you stay near the airport or in Koror?

In Koror unless your flight lands very late or leaves very early. The airport is in Airai State and a bridge links Babeldaob to Koror, so a night near the airport saves a transfer but moves you away from the lagoon boats and restaurants.

Can you stay on a liveaboard in Palau?

Yes. The official tourism site lists liveaboards for dive trips among the places to stay, alongside resorts and bed-and-breakfasts. Check the boat's permits, oxygen and chamber transfer arrangements, as the UK advice recommends for any dive operator.

Do you need a car if you stay in Koror?

Not for tours, which pick you up. Taxis and hotel shuttles handle dinners, and a rental car helps for Babeldaob days. The UK advice notes unlit roads at night and drivers who overtake despite the ban, so avoid driving after dark.

Is Koror safe at night?

Crime levels are low, according to the UK government, and theft of unattended items is more likely than confrontation. There has been an increase in credit card fraud, so use cards carefully. Drinking in public outside licensed places is illegal.

Update history

  1. Replaced the placeholder map with a map of the areas, numbered to match the sections.
  2. 2026-10-04: written from official sources; checked the Palau Visitors Authority site (pristineparadisepalau.com) pages on getting around, travelers' tips and health, Koror State Government pages, and the UK government's Palau travel advice. No rates are quoted and price bands are rough guides.
Ana Tuilagi

Ana is Samoan and grew up in Auckland. She writes about New Zealand, Australia and the Pacific islands with an eye on what is easy to miss from far away: biosecurity rules at the border, cyclone season, how often inter-island flights really run and which Great Walks sell out on the day bookings open.

Field trips: Fiji, Jul 2026. South Island, Apr 2026.

All guides by Ana
Hotels in KororPalau Paradise Comfort, $$Check availability