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Observatory Hill is also known as Makal-Babu-Ko-Thaan. It is one of the oldest sites in the Darjeeling. The Observatory Hill is located at the Mall area and is encircled at its bottom by the Mall Road. The place has a rich historical backdrop. The Bhutia Busty monastery was originally located here. Now the hill has the Temple of Mahakal. The hill is quite popular among tourists due to its Hindu and Buddhist Temples. There are several important places around Observatory Hill. It is an exclusive residential section where the Raj Bhavan is situated. The view is clear during October to November. Monkeys are seen in plenty at the Observatory Hill.

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