It may have suffered for a little while when the behemoth Westfield opened in Bondi Junction, but the Paddington shopping strip has completely recovered now. Oxford Street and its boutique offerings are obviously a focal point, but serious fashionistas should explore the side streets as well. The corner of Glenmore Road and Oxford Street, for example, is so hot right now. Designers including Willow, Kirrily Johnston, Ksubi and World all have outlets there.
Further up Glenmore Road, near the corner of Heely Street, is the boudoir-chic Dirty Pretty Things for underwear you'll want to show off, and Eva Galambos' Parlour X, which stocks collections by Vivienne Westwood, Viktor & Rolf, Isabel Marant and Alexander McQueen, among others.
Also worth a look is William Street, which is home to French designer Vanessa Bruno; the extremely luscious Just William chocolate store; The Corner Shop; Tigerlily; and Belinda.
If shopping is not your bag, stop in at the Verona for Sydney's best cinema (and a funky bar), or check out the current exhibition at the Australian Centre for Photography next to the Paddington Reservoir Gardens urban design gone wild.