The Derwent Sailing Squadron (DSS) sits on the waterfront at 23 Marieville Esplanade, Sandy Bay, just south of Hobart's city centre on the western shore of the River Derwent.

Founded in 1906 as the Motor Yacht Club of Tasmania, it adopted its current name in the 1920s and has been based at its Sandy Bay location since 1958.

As an access point on Lambert Rivulet, the Squadron marks the spot where that rivulet completes its journey from the slopes of Mount Nelson and flows into the Derwent.

Walkers use the club's foreshore as a starting point for routes up through the shady, densely vegetated gully of Lambert Rivulet toward the summit of Mount Nelson and beyond into Truganini Reserve.

The club itself supports a broad range of on-water activities, including yacht racing, cruising, and powerboating, and operates a marina and sailing school.

Its position provides ready access to the River Derwent, D'Entrecasteaux Channel, and other Tasmanian waterways.