Khagrachhari Sadar upazila on the north, naniarchar and Lakshmichhari upazilas on the south, Langadu and Naniarchar upazilas on the east, Matiranga and Ramgarh upazilas on the west.

Mahalchhari thana was turned into an upazila in 1982. The upazila consists of 5 union parishads, 13 mouzas and 100 villages.

Mahalchhari Upazila is located in Khagrachhari District. Upazilla(s)/Thana(s) in Khagrachhari are Dighinala Upazila, Khagrachhari Sadar Upazila, Lakshmichhari Upazila, Mahalchhari Upazila, Manikchhari Upazila, Matiranga Upazila, Panchhari Upazila, Ramgarh Upazila.

Shindukchhari Dhumnighat Sacred Place and Nunchhari Devata Pukur (pond).