Newcastle

Once known as the Steel City, today Newcastle is one of Australia's hippest cities. Just 160 km (100 miles) north of Sydney, it's flanked by the Pacific Ocean and six beaches on its eastern side and a harbor on its west side. Gentrification began when the steel mills closed in 1999. Nowadays the old wharves and warehouses form part of the lively Honeysuckle precinct, which buzzes with hotels, cafés, and restaurants.