Caversham is one of the older suburbs (neighbourhoods) of the city of Dunedin, in New Zealand's South Island. It is sited at the western edge of the city's central plain at the mouth of the steep Caversham Valley, which rises to the saddle of Lookout Point. Major road and rail routes south lie nearby; the South Island Main Trunk railway runs through the suburb, and a bypass skirts its main retail area, connecting Dunedin's one-way street system with the Dunedin Southern Motorway. The suburb is linked by several bus routes to its neighbouring suburbs and central Dunedin.

Dunedin is the second-largest city in the South Island of New Zealand, and the principal city of the Otago region. Its name comes from Dùn Èideann, the Scottish Gaelic name for Edinburgh, the capital of Scotland. The city has a rich Māori, Scottish, and Chinese heritage.