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Trying to decide where to stay on an upcoming visit to Lisbon, Portugal? This ultimate guide to the best areas of Lisbon to stay in will help you plan your trip. After taking four separate trips to Lisbon, I have a few tips for where to stay for your first trip!

Lisbon has a range of neighborhoods and accommodations — you can find something in every budget and style. But when it comes to where you stay, I would consider a few different factors before deciding which part of Lisbon.

This guide will first help you find your perfect neighborhood fit and then list recommendations for curated hotels in that neighborhood. I have recommendations for including everything from boutique options to larger hotels.

Where to Stay in Lisbon: Best Areas for First Timers

I’ve visited Lisbon multiple times now, and each time I’m drawn to different properties. I find myself time and time again amazed by the design here. There are so many choices, and each neighborhood has something unique and special to offer. Over time, I’ve homed in on my favorite areas for both hanging my hat and exploring.

Read on for a guide to the best neighborhoods in Lisbon to find where to stay in Lisbon for first-timers.

Short on Time? Here Are My Top Picks for Where to Stay in Lisbon:

  1. Memmo Alfamafor the best Alfama hotel
  2. Baixa House, for the best Baixa hotel
  3. The Lumiares Hotel & Spa, for the best Bairro Alto hotel

Visiting Lisbon for the first time? Don’t miss my first-timer’s guide to Lisbon!

Where to Stay in Lisbon

Where to Stay in Lisbon

Before You Visit

To help you better plan your time in Lisbon, here are a few guides to reference:

My Takeaway on The Best Area to Stay in Lisbon

The city has so many beautiful neighborhoods to offer that it’s tough to choose between them, especially on your first trip to Lisbon.

For a first-time visitor, I’d advise focusing on geography and choosing a central location for your accommodations so that you can best explore the city on foot. The central Lisbon neighborhoods of Chiado, Baixa, Bairro Alto, and Alfama all fit this description and overflow with historic charm.

If I had to choose, my favorite would be Chiado or Bairro Alto.

They have a great mix of local charm and proximity to attractions.

Top Pick #1: Chiado

Where to Stay in Lisbon: Best Areas for First Timers

This centrally located Lisbon neighborhood has everything you need for a great stay. It’s studded with restaurants, cafes, bars, and shops. It’s loaded with historical charm, from its beautiful architecture and cobblestoned streets. And while it’s hilly, it’s walking distance to many of the city’s top tourist attractions.

The Chiado neighborhood sits right between Bairro Alto and Baixa de Lisboa. So you’re in the mix of it all. You can walk to Praça do Comércio and there are some good local pastel de nata spots too.

Hotels in Chiado

  1. Verride Palacio Santa Catarina ($$$) — The renovated historic palace boasts 19 rooms and suites ornately decorated in pastel tones. From the property’s bar and pool, you can admire the red tiles of Lisbon’s roofs and look out over the Tagus River. The hotel also focuses on sustainability, using organic produce and locally sourced ingredients in its restaurant and generating almost zero plastic use.
  2. The Ivens ($$$) — This member of Marriott Bonvoy’s Autograph Collection was named for Portuguese explorer Roberto Ivens and sports an explorer theme with jungle-inspired décor touches throughout its 87 rooms. Inside the 19th-century building, guests can access a 24-hour gym, a signature restaurant and bar, and an Explore Team to tailor their stay. 
  3. Lisboa Pessoa Hotel ($$) — Inspired by brilliant local author Fernando Pessoa, this hotel aims to inspire visitors through literary tourism. It offers 75 rooms across eight different accommodation types to provide an option for every type of traveler. The restaurant and rooftop bar are great for enjoying city views.
  4. Le Consulat ($$) — Le Consulate housed the Brazilian Consulate for more than 100 years before becoming a boutique hotel with 18 apartments and suites. Art is a major focus here, with each room showing off works that span the spectrum of styles. Though stays here are meant to feel residential, the hotel infuses touches of luxury throughout.

Top Pick #2: Baixa

Where to Stay in Lisbon: Best Areas for First Timers

This cosmopolitan neighborhood helps make up the city’s center, and it’s well-equipped for tourists. It’s highly walkable, and its streets are a bit wider and easier to navigate than those of surrounding neighborhoods. It’s also full of worldly dining options that cater to an international crowd.

When it comes to picking a hotel here, I’d recommend something on the outskirts of the neighborhood. The middle part of it is more commercial so keep this in mind. Some of the hotels even have views of Castelo de São Jorge. And most definitely take the tram 28 over to Alfama through the Baixa district!

Hotels in Baixa

  1. Baixa House ($$) — This collection of beautifully designed, serviced apartments gives you the spaciousness and privacy of an apartment with luxuries like daily cleaning, fresh food for breakfast, and built-in support should you need it during your stay. Each unit features a unique layout and design, with 13 to choose from.
  2. AlmaLusa Baixa/Chiado ($$) — This stylish spot, complete with 28 rooms and suites, occupies part of the iconic square Praça do Município. Rooms are luxe, modern, and neutral, with plenty of amenities on offer. The hotel uses Portuguese brands throughout to imbue your stay with local flavor.
  3. Pousada de Lisboa ($$) — Once the home of the Ministry of Internal Affairs, today, the Pousada de Lisboa is a contemporary yet regal lodging option on the corner of Praça do Comécio. Rooms feel luxe thanks to features like wood paneling and large windows that offer dazzling city views. The hotel’s outdoor pool, spa, and courtyard are perfect for a relaxing escape.
  4. Hotel da Baixa ($$) — Hotel da Baixa is an homage to Portugal’s most famous and charismatic historical figures, who inspired the design for each floor. Its 66 rooms are some of the largest in the neighborhood, and 11 are suitable for families of up to five people. Check out the library, filled with books by authors local and foreign, plus a turntable and vinyl.

Top Pick #3: Bairro Alto

Where to Stay in Lisbon: Best Areas for First Timers

Those looking to get a taste of Lisbon’s nightlife scene should head to Bairro Alto. It’s a hub for late-night bars and nightclubs and is buzzing with the energy of a younger crowd. With its winding streets and narrow alleyways, it’s also a place where old and new meet.

You’ll find a lot of life here so keep that in mind when picking a hotel. It’s certainly not the quietest neighborhood come nighttime depending on the street you are on. I love the energy that this quarter offers. You can also access the Cais do Sodre train station to do trips down the coast.

Hotels in Bairro Alto

  1. The Lumiares Hotel & Spa ($$) — Billing itself as “a homage to Lisbon’s golden light and bohemian charm,” this hotel celebrates everything that makes the city unique. Formerly an 18th-century palace, its interior is infused with Lisbon’s colors and patterns. It also collaborated with local brands, makers, and artists to include authentic touches throughout its apartment-style rooms and beyond.
  2. Palácio Ludovice ($$) — Once the private residence of the architect to 18th-century King João V, the property was revived by an internationally recognized architect to house 61 rooms and suites. Today, carefully restored tilework, fresco paintings, and stucco ceilings adorn the property. The hotel has a focus on Portuguese wine, with curated wine tastings and grapevine spa treatments. 
  3. Bairro Alto Hotel ($$$) — A pioneer in Lisbon’s boutique hotel scene, this bright yellow property is a landmark in the energetic Bairro Alto district. Its comfortable rooms and suites each have their unique design. The views from its terrace, which looks out over the city and Tagus River, are nearly impossible to beat.
  4. Monte Belvedere Hotel by Shiadu ($) — Set next to one of the city’s most famous viewpoints—miradouro de Santa Catarina—Monte Belvedere sits within a former perfume factory. Like Shiadu’s other hotels, it’s dedicated to making the world happier and more sustainable, which it does through its social and environmental commitments.

Top Pick #4: Alfama

Where to Stay in Lisbon: Best Areas for First Timers

For a true taste of local culture, base yourself in Alfama. One of the city’s oldest neighborhoods, Alfama is a maze of tucked-away streets, orange-tiled roofs, and stunning beauty. Throughout the neighborhood ring notes of Fado, the melancholy style of singing characteristic of the area. Spending time here is a quintessential Lisbon experience, many walking tours come through for the history.

The Alfama comes with some perks, like beautiful views over the sea and back into the city. The downside is a proper walk in and out to the other neighborhoods with more limited public transportation.

Hotels in Alfama

  1. Memmo Alfama ($$) — Once a shoe polish factory, Memmo Alfama is living its next chapter as a sleek and contemporary 42-room property. Décor has Scandinavian influences, and rooms have luxurious and modern amenities. The tile-lined infinity rooftop pool and terrace is the perfect place to enjoy a cocktail.
  2. The Lisboans Apartments ($$) — This set of 15 self-catering apartments was created in collaboration with local Portuguese brands, makers, and artists. Set inside a restored 19th-century factory atop Roman pombaline ruins, each unit blends traditional and modern aesthetics. The apartments are family-friendly, with cribs, baby chairs, and more available on request.
  3. Santiago de Alfama ($$$) — This family-run boutique hotel sits inside a fully restored 15th-century palace. It comprises three suites and 16 bedrooms, along with one family option made up of interconnecting bedrooms. Local is the name of the game, with the restaurant Audrey’s—named after the family’s daughter—serving produce from the area.
  4. Hotel Convento do Salvador ($) — In the heart of Alfama, this adapted convent—one of the oldest in Lisbon—now offers several accommodation types. The famous No. 28 tram, which runs the course of the city, passes right outside the hotel’s front door. The property features eco-friendly features such as automatic air-conditioning suspension and low-power LED lighting.

Top Pick #5: Principe Real

Where to Stay in Lisbon: Best Areas for First Timers

While still near the center of the action, this neighborhood is slightly more removed from the city’s hustle and bustle, making it the perfect retreat for those who want a relaxing stay. It’s known for its trendy shops and restaurants, its laid-back atmosphere, and its beautiful viewpoints and green spaces.

You can easily access the train station to take day trips as well from this location. It’s a convenient spot to stay for getting to explore more of Lisbon.

Hotels in Principe Real

  1. The Vintage Hotel & Spa Lisbon ($$) — This hotel is a paradise for mid-century modern lovers and bursting with art, design, and décor. It features clean curves, modernist lines, and bespoke furniture pieces throughout. For a unique touch, each room features a vintage bar cart with a complimentary gin and tonic kit created by Portuguese cocktail expert Nino Lopes.
  2. Memmo Príncipe Real ($$$) — Down a narrow street and through a tunnel, this hotel is tucked away from the city’s hustle and bustle. It uses the same limestone flooring used in royal palaces and historic squares throughout the city, giving it a regal feel. Its 41 rooms and suites afford breathtaking city views.
  3. Montecarmo12 ($) — This boutique hotel occupies a quiet corner just off the neighborhood’s main street. Its exterior is a historic building that’s been lovingly restored using local materials such as limestone and traditional tiles. Inside, simplicity and tranquility are guiding principles. Every detail has been considered, right down to the scents that shape the hotel’s ambiance.
  4. Hotel Alegria ($) — Set between the neighborhoods of Principe Real and Avenida da Liberdade, this historic townhouse occupies coveted real estate. Its 36 rooms and suites are specifically designed to help guests feel as though they’re in a home rather than a hotel. Don’t skip breakfast al fresco on the terrace.

Top Pick #6: Avenida da Liberdade

Where to Stay in Lisbon: Best Areas for First Timers

This is Lisbon’s top neighborhood for luxury, whether that’s a fancy hotel or designer shopping. The high-end street runs for a kilometer northwest of the city center and is lined with elegant homes, globally known shops, and tree-lined spaces.

Hotels in Avenida da Liberdade

  1. Hotel Valverde Lisboa ($$) — This townhouse-style property, opened in 2014, is an intimate and luxurious place to hang your hat in Lisbon. Art objects, antiques, and rich fabrics lend an air of elegance and a residential feel meant to make guests feel at home. A patio with a pool and garden and a restaurant are among the hotel’s amenities.
  2. The One Palácio da Anunciada ($$$) — This five-star hotel, set inside a 16th-century palace, sits a stone’s throw from the posh Avenida. Its interior honors the original palace while providing modern comfort and design. Its 83 rooms are complemented by more than a half-acre of gardens, a restaurant and bar, a gym, a pool, and a spa.
  3. Hotel Valverde Lisboa ($$$) — This property, which opened in 2014, pays homage to the classic and elegant townhouses of New York and London with its mix of contemporary furniture, art, and antiques. These elements combine to give it a residential and luxurious feel, as well as an intimate atmosphere. Special music nights on the patio draw a mix of tourists and locals.
  4. Hotel Britania Art Deco ($$) — The modern and the traditional mesh perfectly at this hotel, set in a restored building that still embodies 1940s glamour. The 33-room property, part of a project from local and renowned modernist architect Cassiano Branco, features spacious rooms, a video library, 24-hour room service, and an on-site bar.

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