Waterfall Bay hut is another 'googie' style fibreglass hut similar to the one at Brothers Point. It was installed in 1993-94 as a replacement for the original Lusitania Bay hut located to the south. The hut comfortably sleeps three people. As the crow flies, Waterfall Bay hut is approximately seven kilometres south of Green Gorge and approximately 18 kilometres south of Macquarie Island station. The hut is conveniently located for personnel travelling down island, and is well placed as a research base for the large king penguin colony at Lusitania Bay. It is easily accessed via the Jessie Nichol track from the north, or the Mt. Martin track from the south. These tracks are subsidiaries of the main north-south overland track.
With exception to the area immediately adjacent to the hut, the coastal strip is designated a category two Special Management Area (SMA). Generally speaking, Waterfall Bay hut is not visited as frequently by expeditioners, making it a perfect place for those that really want to get a feel for the remote nature of Macquarie Island.