In our view, these are the best areas to book a hotel in Lisbon:
- Baixa de Lisboa – stay right in the heart of the action
- Chiado – the very center of central Lisbon
- Avenida da Liberdade – the city’s wider, quieter boulevards
- Bairro Alto – Lisbon’s lively nightlife hub
- Alfama – the old quarter that is the heart and soul of Lisbon
- Principe Real – a beautiful, peaceful neighborhood above the center
One important thing to keep in mind when arriving in Lisbon is that much of the city is built on steep hills. If it’s your first time in Lisbon, it’s best to stay in flatter, more central areas such as Baixa and Avenida.
Click here to search for accommodations in Lisbon…
Quick Navigation
Map of Lisbon’s Best Areas to Stay
Which Areas Are Best for Staying in Lisbon?
Each area has its pros and cons. Some are especially suited to younger travelers, some are quieter, and others feel much more residential and local. We’ve put together information on each part of this fascinating city so you can decide what suits you best:
1. Staying in Baixa
Baixa is exactly what its name suggests: downtown Lisbon, in other words, the city center. The center developed here largely because of the flat terrain, unlike most of Lisbon’s famous hillside districts and neighborhoods. Baixa is the best area to stay in Lisbon for first-time visitors, especially if your time is limited and you want to be close to as many of the city’s top sights and must-see attractions as possible.
The only real downside to Baixa is its lack of neighborhood character, since it serves mainly tourism and public buildings rather than everyday residential life. On the other hand, if what you want is convenience and functionality, this is the place to stay.
Click here to find accommodations in Baixa, Lisbon…
Click here for more detailed information about Baixa and its attractions…
2. Staying in Chiado
Chiado shares many of Baixa’s characteristics, but with a younger feel, and its upper edges already climb the hills toward Bairro Alto, Lisbon’s nightlife district. Some would say Chiado is the best place to stay during a trip to Lisbon—not only because of its central location and proximity to major landmarks, but also thanks to its dynamic character and its status as a culinary and café hub, led by the famous and longstanding Brasileira.
The heart of the neighborhood is Praça de Luís de Camões. Its streets are lively and busy, and it sits close to many of Lisbon’s must-see sights.
Click here to find accommodations in Lisbon’s Chiado district…
3. Staying on Avenida da Liberdade
This is a fairly large area that isn’t right in the busiest part of the center, but just above it. That makes it quieter, especially as you move farther up the avenue. Staying on Avenida da Liberdade lets you remain very close to most of the city’s attractions and landmarks while enjoying a more relaxed atmosphere, without the crowds of the lower districts. Several of the city’s luxury hotels are also here, making it a great fit for travelers looking for a stylish urban getaway. Avenida is especially well suited to older travelers or families who want to avoid the crowds and steep slopes of the city center while still staying close to it.
Click here to find accommodations on Avenida…
4. Staying in Bairro Alto
Bairro Alto is first and foremost a great choice for food lovers and night owls. This hillside neighborhood near the center is known as Lisbon’s main nightlife and entertainment district. Bairro Alto is also famous for its many restaurants and street food spots. Thanks to the topography, some hotels here come with wonderful views as well. Staying in the neighborhood means you can easily and quickly reach many of the city’s main sights by day, then enjoy a vibrant nightlife scene of bars, restaurants, and clubs after dark. The only real drawback is the noise throughout much of the district, especially on weekends, so if that doesn’t suit you, it’s better to stay elsewhere.
Click here to search for accommodations in Lisbon’s Bairro Alto district…
Click here for more detailed information about Bairro Alto…
5. Staying in Alfama
Alfama is ideal for travelers who want to feel the real Lisbon while still staying close to the center. Anyone who loves Portuguese culture and the spirit of Lisbon will usually be drawn to stay here. Alfama is Lisbon’s historic core, with the cathedral and steeply rising streets climbing uphill. For the most part, it’s a residential district, with slightly weathered houses and citrus trees in the courtyards. It’s also one of the best places to spend an evening listening to fado and meeting longtime local residents. For that reason, Alfama won’t be the right fit for everyone. It’s better suited to travelers who want to experience Lisbon with all their senses and don’t mind the neighborhood’s slightly rough-around-the-edges look.
Click here to search for accommodations in Alfama…
Click here for more detailed information about Lisbon’s old center and the Alfama district…
6. Staying in Principe Real
This is a lodging area just outside Lisbon’s busiest tourist centers. In fact, Principe Real is the city’s most beautiful residential neighborhood. It sits just above Bairro Alto, and at the beginning of the neighborhood you’ll find the São Pedro de Alcântara viewpoint, which feels like a natural terrace overlooking central Lisbon. Principe Real is a great place to stay for travelers looking for a quieter side of Lisbon. It lets you experience the city more like a local, but with style. The neighborhood is full of restaurants and cafés and is known for its great charm.
Click here to find accommodations in Principe Real, Lisbon…
Click here for the full guide to Lisbon…
What to Know Before Booking Accommodations in Lisbon
Choosing the right area
The first thing to understand when booking a place to stay in Lisbon is its topography. Even if a hotel looks very central on the map, it may actually sit at the top of a very steep hill—and you probably won’t want to drag your luggage up there. Baixa, most of Chiado, and the Avenida area are fairly flat. Elsewhere, and especially in Alfama, there are plenty of uphill streets. That’s not necessarily a problem, since many steep streets are served by trams or funiculars, and some can also be walked. Still, it’s something to be aware of, so we recommend checking the street on Google Maps if you’re unsure. Aside from Bairro Alto, which is the city’s nightlife center, the other neighborhoods near the center are fairly similar in terms of traffic and noise.
Click here to search for accommodations in Lisbon…
Hotel prices in Lisbon
As in the rest of Western Europe—and really around the world—prices have risen sharply in recent years, and Lisbon is no exception. Even so, Lisbon is still relatively affordable compared with other Western European capitals. The main way to save is to visit outside the summer season, ideally in spring or fall. Since fall can be rainy, spring is the better option.
Best areas for young travelers
Bairro Alto is Lisbon’s nightlife district, so if you’re looking for evenings out and a lively after-dark scene, this is where you should stay. The rest of the city center—Baixa and Chiado—also works well for younger travelers who usually like to be right in the middle of things.
Another area that feels completely different from what many imagine when they first arrive in Lisbon is Costa da Caparica. This suburb lies on the other side of the Tagus River, across the 25 de Abril Bridge. It has wide beaches, including surfing beaches, as well as holiday villages and campgrounds. It’s about half an hour from central Lisbon, and some young travelers choose to stay there for at least part of their time in Lisbon and enjoy what the Portuguese coast has to offer.
Best areas for families
For families that want to stay right in the center, we think Baixa is the best fit thanks to its relatively flat layout and central location. If you’d rather not stay in the very heart of the action but still want to be central, Avenida is the better choice. Travelers touring Portugal by car and coming to Lisbon for just a day or two—or staying overnight on the first or last day—should look for hotels in Parque das Nações, which is about twenty minutes from the center and offers spacious parking at most hotels. For families wanting to combine a holiday village or camping stay with day trips into Lisbon, Costa da Caparica is a surprisingly convenient place to stay near the city, just half an hour from the center without traffic.
Quiet areas for older travelers
Avenida da Liberdade is the ideal area for older travelers who want to stay close to the center without the city noise, steep climbs, and crowded streets. Principe Real is also a good fit, though it sits a bit farther uphill, so that’s worth taking into account.
Click here for a full guide to Lisbon and the city’s attractions…
Areas to Stay Outside Central Lisbon
These two areas outside the city center offer a different style of vacation from a classic city break, and for much of the year they can also be more affordable than staying downtown. They work especially well for traveling families, though plenty of other visitors may find them appealing too.
1. Staying in the Park of Nations | Parque das Nacoes
Parque das Nações is an area northeast of the city center, along the Tagus River, about a 25-minute drive away. It was developed for Expo 1998 in Lisbon, so it is completely modern, with high-rise buildings. The area includes several attractions, such as Lisbon’s huge casino, the aquarium, the cable car (Telecabine), the MEO concert and events arena, and of course the major exhibition center, which hosts many fairs and events throughout the year.
The area is very accessible, with the large Lisboa Oriente train station right next to the attractions, along with additional Metro stations. It is also just an 8-minute drive from Lisbon Airport.
Staying in Parque das Nações is often cheaper than staying in the city center, and one of the bonuses is that most hotels are newer and housed in spacious modern buildings. Staying here can work well for travelers passing through Lisbon by car, since most hotels have parking. It also suits families who want a quieter area and don’t mind the twenty-minute ride into the city. And of course, it’s a convenient option for anyone coming for an exhibition or wanting to stay near the airport on their final night in Portugal.
Click here to search for accommodations in Parque das Nações – Expo…
Click here for more information about Parque das Nações…
Click here for a page featuring 15 attractions for children in Lisbon…
2. Staying in Costa da Caparica – a mix of surfing, camping, and a city break
Costa da Caparica sits on the other side of Estrela and the 25 de Abril Bridge, on the southern bank of the Tagus River. It’s a beach town very close to central Lisbon, about half an hour away by car. It’s known as a summer weekend escape for Lisbon residents, and also as a great nearby surfing destination. More than anything, though, it’s famous for its huge camping sites right by the beach, with hundreds of bungalows, holiday villages, and other accommodation options.
Staying in Costa da Caparica is a good fit for families looking to combine camping with outings to the big city; for young travelers coming to surf or enjoy the beaches and youthful atmosphere while still going out in Lisbon at night; or for anyone who wants to add two or three beach days to a Lisbon trip without straying too far from the city.
Click here to search for accommodations in Costa da Caparica…
Luxury Hotels in Lisbon
As in any major capital, Lisbon has luxury hotels that host the world’s elite. They are certainly upscale properties, but most are not especially expensive compared with other European capitals. Travelers looking to indulge a little—or enjoying a romantic couple’s getaway—may want to consider spending at least part of their stay in the city at a particularly high-end hotel.
Lisbon’s luxury hotels are concentrated in two main areas:
- Baixa-Chiado – right in the center.
- Avenida da Liberdade – the broad boulevards rising above the city center.
Baixa and Chiado, as noted above, form downtown Lisbon. On the one hand, staying in these districts means being as close and connected to everything as possible. On the other, they are very busy and won’t suit travelers looking for peace and quiet. In this area, we especially loved:
- The Ivens Autograph Collection, which is in a super-central yet quiet location.
- Bairo Alto Hotel, set on the romantic Praça de Luís de Camões.
Avenida da Liberdade is still close to the city center and most of Lisbon’s main points of interest, but it offers a quieter setting. Another advantage is the nearby gardens and parks, including Eduardo VII Park and the Botanical Garden, which provide a nice break from the city bustle. Farther up the avenue, heading toward Principe Real, you’ll also find excellent viewpoints over the city and the Tagus River. The hotels we particularly liked farther up Avenida are:
- Tivoli Avenida Liberdade, which is simply perfect.
- Browns Avenue Hotel, beautifully designed and full of charm.
Click here for a list of more 5-star hotels in Lisbon…
Types of Accommodations in Lisbon
Hotels
The preferred accommodation option for tourists visiting Lisbon is a hotel. As in other major cities, Lisbon offers a wide selection of hotels in different categories and price ranges in the heart of the tourist districts. Staying in a hotel in central Lisbon often lets you return to a clean room in the afternoon to freshen up before heading back out for another evening in this wonderful city.
Click here to find a hotel room in Lisbon that suits your needs…
Apartments
Central Lisbon does have a certain selection of apartments, but many tend to be small and somewhat outdated. Families will usually prefer apartments because they are larger and often include a kitchen and, in some cases, a washing machine. Booking a reasonably sized apartment can also mean making one reservation instead of booking two hotel rooms, as sometimes happens with families. If you do choose an apartment in the city center, we suggest looking for aparthotels rather than regular apartments. They are more expensive, but the value is almost always much better for the price.
Apartment stays in Lisbon tend to work better in neighborhoods above Baixa, such as the upper end of Avenida, Principe Real, or Belém. There you’ll usually find more spacious apartments that suit families while still remaining reasonably close to the city’s “heart of the action.”
Click here to search for vacation apartments in Lisbon…
Pousada
Pousadas, or pousadash as the Portuguese pronounce it, are hotels housed in historic buildings in Portugal. They are the Portuguese equivalent of the Parador in neighboring Spain. These are usually luxury hotels, but at sensible prices. In nearly every historic city in Portugal, you’ll find one or more properties of this kind, and Lisbon has three excellent ones. One standout is Pousada Alfama, set in the historic hilltop district of Lisbon with beautiful views.
Hostels
Lisbon also has hostels, and they’re a good budget-friendly option for younger travelers. Most are located in Bairro Alto, Lisbon’s nightlife district, or in central Chiado and Baixa. We recommend staying in highly rated hostels and, as always, being careful with your personal belongings.
Click here to search for accommodations in Lisbon…
