Katoomba is the main town and council seat of the City of Blue Mountains in New South Wales, Australia, and is the administrative centre of Blu…Katoomba is the main town and council seat of the City of Blue Mountains in New South Wales, Australia, and is the administrative centre of Blue Mountains City Council. Situated on the Great Western Highway and the Great Western Railway, Katoomba is home to the Three Sisters, 102 km by road west of Sydney Central Business District and 39 km south-east of Lithgow. Katoomba railway station serves the town. Katoomba is located on the lands of the Dharug and Gundungurra Aboriginal peoples.