Melbourne is in a place.
Melbourne . The metropolis is located on the large natural bay of Port Phillip and expands into the hinterlands towards the Dandenong and Macedon mountain ranges , Mornington Peninsula and Yarra Valley . Founded by free settlers from the British Crown colony of Van Diemen 's Land on 30 August 1835 , in what was then the colony of New South Wales , it was incorporated as a Crown settlement in 1837 . It was the host city of the 1956 Summer Olympics and the 2006 Commonwealth Games .