At about 7.20am on Sunday, police were called to a car park on Station Street, Wollongoing, where they found the body of a 68-year-old man in a stairwell.
Detectives arrested a 37-year-old man on Crown Street, Wollongong, about 10.40am the same day.
He was taken to Wollongong Police Station where he was charged with murder.
The 37-year-old was refused bail to appear before Wollongong Local Court today.
The car park is expected to remain closed today as police continue to investigate the crime scene.
