6 Great Choices for Where to Stay in Lisbon Neighborhoods
You have many interesting choices for where to stay in Lisbon neighborhoods – like the picturesque area we chose with some hilly areas that wind down into the city center. Walking to the historic Old Town was always a scenic excursion, with us catching fleeting glimpses of the port or castle as we turned corners, grabbing panoramic views from the miradouros (look-out points) like the Miradouro de São Pedro de Alcântara. Going into town we felt absolutely no need to take the trolley or metro but, climbing the sidewalk steps when heading home, was a different story – trolley or metro worked just fine!
Where to stay in Lisbon neighborhoods depends on which are the best areas for you to best experience the city. Like colorful beads strung on a necklace, charming neighborhoods adorn the picturesque hills encircling the central Lisbon. You can opt for a Lower Neighborhood like Baixa or an Upper Neighborhood like Alfama, a lively bohemian vibe like that found at Bairro Alto or a subdued, more local, ambiance experienced in Principe Real.
My choices for the 6 best places with the best neighborhoods & accommodations in Lisbon are featured below. They include both upper and lower choices, are near city center (10 to 45 minute walk), host typical neighborhood buildings, and offer local restaurants, bars, and food stores.
Biaxa – Lower Neighborhood
One of the liveliest and most traditional central neighborhoods, Baixa is considered Lisbon’s most famous shopping destination. The district’s fame is on display as you stroll the beautiful popular squares and characteristic streets, where a preponderance of high-end shops and leisure activities can be found.
Once streets filled with shoemakers, silversmiths, and other artisans, today there are pedestrianized stately avenues like Rua Augusta brimming with specialty restaurants and friendly bars in a bustling and fun atmosphere.
Filled with iconic monuments, historic buildings, and other historic sights,
You not only find shopping in the area but also iconic landmarks and historic buildings – all within the compact city’s historic center where a plethora of shopping, touring, and dining opportunities await.
For Biaxa accommodations, see here
For more Biaxa neighborhood info, see here.
Bairro Alto – Upper Neighborhood
Lisbon’s seven undulating hills make for a stunning city-scape, especially at night when seen from Old Town or from a café perched along the stone steps, lit by moon and vintage street lamps, leading to the upper neighborhoods.
Walking back in the evening to our quiet apartment in an upper neighborhood, it was almost impossible to pass through the Bairro Alto with all of its festive taverns, cafes, and outdoor stand-up bars offering tempting tidbits and varied happy hour drinks. Many nights we joined locals and visitors alike, for friendly conversation and comradery before heading home.
Uphill from Lisbon’s downtown area, graced with one of the few remaining areas populated with pre-18th c. architecture, the Bairro Alto is considered Lisbon’s trendy district with a bohemian flair, where street art graffiti can be spotted and where balconies display colorfully decorated laundry drying in full view.
As one of Lisbon’s most vibrant entertainment hubs, you can enjoy special restaurants featuring musicians playing soulful Fado music, a wildly popular national past-time.
For Bairro Alto accommodations, see here.
For more Bairro Alto neighborhood info, see here.
Alfama – Upper Neighborhood
Lisbon’s oldest quarter, Alfama stands out as one of the most traditional and historic parts of Lisbon, where you can meander a colorful labyrinth of cobblestone streets formerly trodden by fishermen, and happily get lost in the ancient nooks and crannies and twists and turns, not knowing what hidden gem discovery awaits. Getting lost in Alfama let us experience a slice of authentic Lisbon dating back to the Moors, reminiscent of the city’s storied past.
Perched below St. George’s Castle and overlooking the port, the neighborhood resembles a whimsical puzzle with minimal street markers, tiny eateries, circular plazas, and Fada restaurants. You can expect very narrow medieval cobblestone streets and skinny alleys (wide enough for only one), zig-zagging through a maze of quintessential charming Alfama shops, cubby-holed restaurants, and authentic Fado music clubs that come alive in the evening.
For Alfama accommodations, see here.
For more Alfama neighborhood info, see here.
Graca – Upper Neighborhood
Home to the city’s famous fortified Moorish castle dating from the medieval period, Castelo de Sao Jorge, Graca rises just above Alfama, overseeing the cityscape below. Seen from just about anywhere in the city, Graca stands as one of the oldest, most authentic areas within Lisbon, dramatically perched above Alfama. From its hilltop, Graca occupies a commanding panoramic cityscape view overlooking the historic center and Tagus River.
A winding maze of cobblestone streets and lanes, Graca’s bountiful neighborhood charm includes traditional small community clusters where you can stroll, purchase local handicrafts like cork jewelry (even in the castle), smell before sampling typical Portuguese dishes like grilled sardines, hear soulful Fado music wafting in the air, and stop at breathtaking miradouros (scenic look-out points) along the way.
Even villagers, living above their family-owned restaurant inside the castle walls, offer traditional home-cooked meals, each with their ‘special menu’ for the day. Luckily, I stumbled upon just such a family-run small restaurant while exploring the castle’s narrow lanes and ended up not just enjoying a delicious Portuguese home-made meal, but also lively conversation with the friendly owners.
For Graca accommodations, see here
For more Graca neighborhood info, see here.
Principe Real – Upper Neighborhood
After one of many exploratory day-trips outside Lisbon, we arrived back in our apartment ecstatic knowing that, within five minutes, we would be tucked in at one of our favorite neighborhood restaurants, perched atop one of Lisbon’s seven hills, and outside under a cool evening sky. Just one right turn, a quick left and we were there…
This most charming oasis boasts grand centuries-old pastel buildings, green spaces, undulating narrow streets, and family-owned restaurants, grocery stores, and boutiques. Part of the area’s distinct charm was the small Jardim do Príncipe Real square, populated by ancient trees, park benches, and a food kiosk. And, rimming the enchanting square, were four delightful cafés where mostly locals dined and one small very helpful grocery store – what more could we ask for?
A winding 10 minute walk beyond bustling Bairro Alto, Principe Real provides a laidback, residential, and quiet environment where you can slow your day, opt for a subdued evening at your favorite local café, or go for lively night time play in the bars, taverns, and restaurants found in the Bairro Alto or in Old Town, a 25 minute walk downhill.
For Principe Real accommodations, see here
For Lisbon attractions, see here.
Chiado – Lower Neighborhood
Neatly tucked in below Bairro Alto and above Baixa, Chiado is the city’s theater district, popular for its shopping venues and the elegant Praca Luis de Camoes square, a popular meeting spot graced with outdoor cafes and variety shops.
Famous for both its bohemian flair and Fifth Avenue atmospheres, lovely Chiado offers an intriguing mix of experiences, attractions, and neighborhood vibes. You can find interesting graffiti street art, the boisterous Ribeira Food Market, and quaint artisan shops as well as high-end designer boutiques and quality leather and crafts stores.
With a bevy of lovely cafes, upscale restaurants, elegant buildings, vintage bookstores, and theatres, the area is a picturesque central place to people-watch shoppers, strollers, and theater or opera-goers as you indulge in an espresso and pastel de nata pastry, a favorite local pastry.
For Chiado accommodations, see here.
For more Chiado neighborhood info, see here.
Lisbon Old Town – see here
City Center – see here
Outside Center – see here
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