Our ability to form and recall memories of personal experiences is an essential part of daily life. Further, episodic memories often involve physical movement through space and thus require encoding of one’s position relative to the surrounding environment. The medial temporal lobe (MTL) is thought to be critically involved, based on evidence from studies in freely-moving rodents and stationary humans completing computer-based behavioral paradigms. However, it remains unclear if and how the human MTL represents space and memory during physical navigation given challenges associated with deep brain recordings during movement. Here, we recorded intracranial electroencephalographic (iEEG) activity while participants completed an immersive virtual reality ambulatory spatial memory task. We found that MTL theta activity was modulated by successful memory or task-relevant spatial positions depending on changing behavioral goals. Altogether, these results demonstrate how the human MTL can dynamically represent both memory and space in a temporally dynamic manner during freely-moving navigation.