Located just past the town of Murrumbateman on the Barton Highway, the single-storey hotel has 50 rooms, sleeping from two to four people, and is the first four-star hotel for the area.

The newly constructed building is part of Fairley Estate, developed by local winemaker Graeme Shaw from Shaw Vineyard, and alongside the hotel, the estate will include houses, medical practitioners, a small grocer and a brewery.

"Graeme was adamant he wanted a good quality tourist accommodation facility of some kind, so that's when he came and talked to us," said Rien Donkin, general manager for Abode Group who also run hotels in Tuggeranong, Gungahlin, Woden and Narrabundah.

"[Murrumbateman] is the smallest hotel in [Abode Group], and we've opened five hotels now, and it has had the most interest of any of them from the people in Canberra and people we talk to - everyone asks about the hotel in Murrumbateman. So the interest is really strong."

The new hotel is modern, with a neutral design, but still has country touches. There is a guest lounge in reception with a large fireplace, a communal kitchen where cows from the neighbouring paddock wander by the windows, and a pantry stocked with local wines and produce for sale.

There is also a wine theme running throughout the building, from the wall of Canberra region wines in the shared kitchen, to bedside tables in the rooms that resemble champagne corks.

Bikes are available for guests to hire for free, along with picnic rugs, and the hotel has created maps to help visitors explore the local area.

"We want it to feel a little bit high end, but at the same time, feel nice and homely," said Mr Donkin.

Mr Donkin said the new hotel increases the number of rooms available in the area by 30 per cent, and they hoped to attract new visitors to the area, as well as servicing existing demand.

"The big wineries here with function facilities - they do two or three weddings a week. And we know that people are bussing their guests out to Murrumbateman and bussing them back into Canberra again, so we know there's the weekend demand. And there's just the passing traffic," he said.

Murrumbateman-based winemaker Tim Kirk from Clonakilla Wines said the new accommodation offering was a step in the right direction for the wine region to become more of a destination in itself, and encouraged further development in the area.

"We've known for a long time that what we have here in this district is really worth celebrating. The profile that the district has built over the last 10 or 15 years nationally and internationally is remarkable," Mr Kirk said.

"We've certainly seen, at our cellar door here, our numbers have continued to increase dramatically over the last three years. So having the infrastructure like a good, beautifully-built hotel can only strengthen it further. And offering people a diverse experience in the Yass Murrumbateman region is great - great places to stay, great places to eat and other interests and attractions as well can only do great things for us."