Beijing is a city in the midst of a tourism revolution, thanks in large part to the 2008 Olympics, and the hotel industry is paving the way. There are basically two types of major hotel in Beijing: those owned jointly between Chinese and foreign firms, and those owned entirely by Chinese companies.

Many international chains have hotels in Beijing, and they typically offer the best value for money. Smaller, family-run hotels are scattered all over the city but can be hit or miss in terms of comfort and service.

There's been a recent surge in new five-star hotels in Beijing, but classics such as The Peninsula remain top favourites. Its incomparable English-speaking staff and understated elegance are balanced nicely by high-tech amenities. Raffles is another winner for the old world style embodied by its historic European building just steps from the Forbidden City.

The newly opened Ritz Carlton caters to the business crowd but manages to make its luxurious digs feel homey and personable. At the other end of the spectrum from the giant global chains are charming places such as the boutique Hotel Côté Cour SL. Its quiet location tucked into a traditional hutong neighbourhood provides a welcome glimpse into a fast-fading side of old Beijing.

To be near the best of Beijing's myriad attractions, restaurants and shops, the city's eastern district known as Chao Yang or the central district known as Dong Cheng are the best locations. If you want to be near the airport or simply want to stay outside the chaotic centre of Beijing, try a hotel in the northeast of the city.

The best ambiance and proximity is in the city centre's Dong Cheng and Chao Yang districts. The range of hotels here is comprehensive, with everything from backpacker inns to boutique hotels and five-star legends. Chao Yang in particular has the lion's share of Beijing's fanciest hotels, the hottest shopping scenes and buzzing nightlife in San Li Tun.

The northeast's Third Ring Road is a popular spot for four- and five-star hotels catering to business travellers. It has excellent proximity to the downtown hub, the airport and public transportation lines. Han Dian is in Beijing's high-tech and university district. There are dozens of modest Chinese hotels and guest houses, as well as the five-star oasis of the Shangri-La hotel.

Jian Guo Men Wai is near the main commercial areas and most embassies, so there is a dearth of business hotels like the massive China World Hotel. Wang Fu Jing is known as a centre for luxury hotels. Not only is this neighbourhood near the Forbidden City and Tiananmen Square, but also some of Beijing's most upscale shopping malls.

The outlying southern districts of Chongwen and Xuanwu offer mid-range and budget hotels, but are conveniently located near to the railway and metro lines. One neighbourhood that has developed nicely is Hou Hai, one of the most picturesque and traditional areas to stay. The authentic hutongs (ancient lanes) here are the last remainders of old Beijing. The accommodation is mid-range and modest, but the atmosphere priceless.