By Darren Griffiths

Where to Stay in Lisbon, Portugal - The Best Areas

15th February 2023

Last updated on April 23rd, 2023 at 05:41 am

Lisbon is an ideal location for travellers looking for a day filled with rich history and nights filled with authentic music festivals and fine dining. The Portuguese capital is a city rich in history and has been rejuvenated to the point where it has become an ideal location for travellers.

Many areas are ideal places to stay in the city, depending on each traveller’s desires. Each day, a traveller can visit the different parts of the city and take in all of what Lisbon has to offer. Discovering where to stay in Lisbon is the challenge, and this guide is here to help!

Alfama

Though the city’s oldest area is becoming home to new shops and restaurants, it is still the ideal area for travellers to see the authentic life which has been preserved for centuries. Alfama is home to Castello Alfama, one of the many great things to do in Alfama, which travellers can tour for a small price. The uphill hike to the castle offers a view over the tops of the city’s buildings and view of the ocean beyond, arguably some best views the city has to offer.

This is an ideal area for the historical explorer and romantic couples. It’s also where to stay in Lisbon if looking for a private apartment. Check out the best apartments Alfama has to offer HERE.

RECOMMENDED HOTELS:

BUDGET |  Hotel Santa Justa

Hotel Santa Justa is in a central location in Lisbon. The modern rooms offer gorgeous views of the surrounding landmarks. Guests can enjoy modern accommodations in their rooms. Proximity to Alfama allows guests to access the historic oldest and historic part of Lisbon. Guests can even rent bicycles from the hotel to make the trip even quicker.

CLICK HERE FOR AVAILABILITY – HOTEL SANTA JUSTA

MID-RANGE | Eurostars Museum

A historian may enjoy this one. The hotel is adorned with features alluding to the building’s history. Guests can enjoy very nice and modern accommodations. Guests can also enjoy free breakfast each day before enjoying the nearby Alfama district. After enjoying the music and food the Alfama district has to offer, this destination is a good spot to relax.

CLICK HERE FOR AVAILABILITY – EUROSTARS MUSEUM

LUXURY | Pousada de Lisboa

Located only one half a mile away from Alfama, this small luxury destination offers elegant rooms and an a la carte restaurant. In addition to a wide range of luxury accommodations, the hotel is located within a short walking distance of the city’s most iconic Rossio Square. For further distances, the hotel offers bike rentals.

CLICK HERE FOR AVAILABILITY – POUSADA DE LISBON

Baixa

The Baixa district is the downtown area of Lisbon and is best for its historical sites. Travellers who want to spend a whole day, or days, seeing the history Lisbon has to offer, should make time to visit Baixa. Baixa can offer a day of wandering around the impressive plazas and paths, never failing to see something new and impressive with every turn.

When hungry from walking so much, travellers can stop at one of Baixa’s many restaurants. Though it is a tourist area and meals are a little more expensive, travellers are doing themselves a disservice by not enjoying the food Baixa has to offer. And if you like a bit of retail therapy, Baxia is where to stay in Lisbon for shopaholics!

RECOMMENDED HOTELS:

BUDGET | The 7 Hotel

A traveller could not get closer to the centre of Lisbon. This inexpensive hotel is a short walk from the Baixa area. It provides guests with a free breakfast before leaving to spend the day in the beautiful Baixa area.

CLICK HERE FOR AVAILABILITY – THE 7 HOTEL

MID-RANGE | Hotel Lis – Baixa

Hotel Lis – Baixa also finds itself in the hearts of Lisbon. Guests are a short walk from the elegance and excitement of the Baixa area. The rooms are renovated and comfortable. The hotel is close to restaurants and small shops. Guests can also enjoy terrace dining at the hotel’s restaurant.

CLICK HERE FOR AVAILABILITY – HOTEL LIS  –  BAIXA

LUXURY | AlmaLusa Baixa/Chiado

Luxury and History is all in one at the AlmaLusa. Guests enjoy a historical hotel in the heart of Lisbon. Having partnerships with some of the highest brands, the AlmaLusa comes fully equipped with the finest furnishings and decor that make it a truly five-star stay. Guests get the luxurious life of the hotel and the historic and beautiful surrounding town.

CLICK HERE FOR AVAILABILITY – ALAMALUSA 

Bairro Alto

Bairro Alto is where to stay in Lisbon for the best modern night-life and bar scene that Lisbon has to offer. It undergoes a monumental change between day and night, transforming from a historical adventure during the day, to the night-life lover’s dream at night.

The district’s many bars offer travellers a wide range of options and the ability to do a lively bar crawl after enjoying a beautiful view of the sunset. During the day, travellers can visit museums and other various attractions.

RECOMMENDED HOTELS:

BUDGET | The Independente Suites & Terrace

This hotel is close to Bairro Alto, allowing guests to easily access the fun nightlife, and have a nice place to relax. The rooms are nice and the hotel is accommodating. There is a guest lounge which gives a nice view over the city. Guests can enjoy the hotel’s restaurant and get sight-seeing tips from the staff which is available 24 hours a day.

CLICK HERE FOR AVAILABILITY – THE INDEPENDENTE SUITS

MID-RANGE | Dear Lisbon – Charming House

This nice and comfortable destination is located very close to a transportation hub, giving guests access to the entirety of Lisbon. Guests who want to experience Lisbon in entirety can know they are in good hands staying at Dear Lisbon – Charming House. The lively Bairro Alto is only a short walk away, making this a night-life lover’s perfect hotel.

CLICK HERE FOR AVAILABILITY – DEAR LISBON

LUXURY | Le Consulat

This luxurious spot is a dream vacation for someone who wants luxury and an incredible night-life. The hotel has been decorated in cooperation with local Lisbon art galleries, giving guests a nice and luxurious welcome. The hotel even comes with an artist exhibit, where local artists come and show off their amazing work. The rooms are comfortable and come with all the accommodations expected of a five-star hotel.

CLICK HERE FOR AVAILABILITY – LE CONSULAT

Chiado

Travellers can experience Chaido, a square in the central part of Lisbon which has many theatres museums, restaurants, coffee shops, and so much more. Most of the buildings are from the 1700s, making it a great historic trip for travellers. The buildings were restored with a mind to preserving their history after a fire destroyed much of the district in 1988.

Travellers can find Chiado, as a great place to grab a nice meal or coffee before going out for a fun night in the nearby Bairro Alto area. This is where to stay in Lisbon if you prefer up and coming areas instead of more established neighbourhoods. 

RECOMMENDED HOTELS:

BUDGET | Shiado Hostel

Shiado Hostel is located in the heart of Chiado, giving travellers an easy door to the popular district. Being a hostel, guests will not break the bank by staying here but will be sharing spaces with other travellers. The common areas in the hostel have the same accommodations as any other hotel. This could be a perfect place for the social butterfly of a traveller who is willing to befriend other travellers and explore the many areas of Lisbon.

CLICK HERE FOR AVAILABILITY – SHIADO HOSTEL

MID-RANGE | Hotel Borges Chiado

The Hotel Borges Chiado overlooks Chiado Square. The hotel offers easy access to Chiado, Baixa, and Bairro Alto. Guests can enjoy comfortable rooms complete with many accommodations. Guests can head to the hotel’s terrace to enjoy a drink. The hotel also offers a car rental service, which is perfect for travellers looking to go far distances, perhaps to Sintra or Cascais.

CLICK HERE FOR AVAILABILITY – HOTEL BORGES CHIADO

LUXURY | Alecrim ao Chiado

This luxurious hotel is located 600 feet away from Chiado. Guests will enjoy an elegant stay complete with all the accommodations of a five-star hotel. It is a great location to relax after a nice day in Chiado, Baixa, and a night of fun in the close Bairro Alto. Guests can also enjoy the very nearby Rossio Square and Dona Maria II National Theater. It is also located near public transportation, making the entirety of Lisbon accessible.

CLICK HERE FOR AVAILABILITY – ALECRIM AO CHIADO

Cais do Sodré

Cais do Sodré was once a neglected part of the city but has recently undergone a transformation. It is the newer, more liberal and progressive part of Lisbon, giving travellers a place with more modern architecture, stores, restaurants, and coffee shops.

The nearby waterfront has undergone a major restoration, making it an ideal destination for travellers looking to spend time near the water. This is where to stay in Lisbon to be closest to the popular Time Out Market, which offers a wide array of food, drinks, and crafts to enjoy. At night, the district becomes a raver’s dream destination, being modern and loads of fun.

RECOMMENDED HOTELS:

BUDGET | Lost Inn Lisbon Hostel

The Lost Inn is actually located in the Chiado district but is an easy walk to Cais do Sodré, for the travellers not afraid to walk some. There is never harm in exploring a little on foot! The hostel is an inexpensive way for travellers to enjoy the nearby modern life of Cais do Sodré, as well as the history offered by the other nearby districts. Guests will enjoy the comfortable rooms with other guests while having to share bathrooms and kitchens. This is a perfect location for social butterflies who want to enjoy the modern life of Cais do Sodré with other travellers.

CLICK HERE FOR AVAILABILITY – LOST INN LISBON HOTEL

MID-RANGE | LX Boutique Hotel

Travellers wanting to experience what Lisbon has to offer will find this the perfect destination. The hotel is located in the heart of the imaginary triangle formed by the Chiado, Baixa, and Cais do Sodré districts. Guests will enjoy comfortable rooms with pleasant accommodations and views of Lisbon and the nearby river. Guests will also have short walks to Cais do Sodré, as well as many museums and theatres.

CLICK HERE FOR AVAILABILITY – LX BOUTIQUE HOTEL

LUXURY | Ribeira Tejo by Shiadu

This fancy hotel offers a luxurious stay in a convenient location. Guests will enjoy antique furnishings among the luxurious accommodations a five-star hotel. Several restaurants are located very close, and public transportation is nearby. Guests have a short walk to the Time Out Market, as well as the waterside at Cais do Sodré. Rooms offer pleasant views of Lisbon and the nearby river. Guests will enjoy this relaxing and affluent-like stay after enjoying a day filled with the great things Lisbon has to offer.

CLICK HERE FOR AVAILABILITY – RIBEIRA TEJO 

Cascais

If you’d rather stay in a nearby town then Cascais could be for you. Cascais is a fishing town but is Portugal’s busiest coastline resort in the Summer. The district’s proximity to the Atlantic Ocean offers travellers an easy trip to the beach. Travellers can also enjoy the wonderful life of the city, taking in the different shopping and leisure options.

If travellers do not want to stay in Cascais, it makes for a great day-trip. A traveller looking for a beautiful beach destination has some great resort options for a wonderful stay in the beach-side district. Not exactly Lisbon, but add Cascais to your where to stay in Lisbon options. 

RECOMMENDED HOTELS:

BUDGET | Vila Bicuda Resort

Vila Bicuda resort rests 3.1 miles away from the beaches on the Atlantic Ocean. Guests can enjoy staying in a private villa. Each villa has an outdoor balcony with garden and pool views, modern furnishings, and fully equipped kitchens. There is an on-site bakery shop where guests can purchase authentic local pastries and coffee. The resort also has its own restaurant, serving authentic Portuguese cuisine at dinner time. This is also a kid-friendly destination, offering children a playground, and parents a babysitting service.

CLICK HERE FOR AVAILABILITY – VILA BICUDA RESORT

MID-RANGE | Eurostars Cascais

The Eurostars Cascais offers guests rooms with views of the vast Atlantic Ocean. The hotel comes with a welcoming restaurant and bar, where guests can enjoy some tastes of authentic Portuguese cuisine. Guests have a short drive or walk to the beach, and hotel staff offers rentals on bikes or cars. It is a short distance from nearby museums, giving guests plenty of activity options.

CLICK HERE FOR AVAILABILITY – EUROSTARS CASCAIS

LUXURY | Hotel Cascais Miragem Health & Spa

Being a nine-minute walk from the beach, this luxurious destination is the perfect place for the beach-loving, maybe more affluent, traveller. The outdoor pool at this location has a phenomenal view of the Atlantic Ocean. This is a five-star hotel which gives guests luxurious rooms and accommodations including a spa, health club, and restaurants.

CLICK HERE FOR AVAILABILITY – HOTEL CASCAIS MIRAGEM HEALTH & SPA

Sintra

Sintra is the countryside with castles! There are more than ten national monuments in the small town, including old historic castles, exquisite palaces, and luxurious mansions. “A historian’s paradise,” some might call this a small town.

While visiting the historic sites, travellers will be graced with the picturesque views of the beautiful town. Sintra allows a tourist to travel with others, or escape the crowds and explore alone. Sintra is more commonly visited as a day trip but it’s easy access to the city makes it a great option when looking at where to stay in Lisbon. 

RECOMMENDED HOTELS:

BUDGET | Palacio de Sintra Bed & Breakfast

This inexpensive but hospitable location offers Sintra visitors a shared lounge, free breakfast, and easy access to Sintra. This destination also has a garden and terrace, making for a very relaxing stay. Guests can also enjoy a short, view-filled walk to the Moors Castle, which is 1,500 feet away. Being a more inexpensive option, guests are on their own to make plans for touring Sintra’s sites.

CLICK HERE FOR AVAILABILITY – PALACIO DE SINTRA BED & BREAKFAST

MID-RANGE | São Miguel Guest House

This nineteenth-century house offers guests with stylish rooms. Old paintings and wood furnishings offer an old feel for guests while they enjoy a free breakfast. There is a beautiful garden outside for guests to enjoy. Being close to the Sintra district, guests can come to a quaint place for relaxation and rest after a day of exploring the historic Sintra monuments.

CLICK HERE FOR AVAILABILITY – SAO MIGUEL GUEST HOUSE

LUXURY | The Biester Charm House

This luxurious destination is built on the hillside of Sintra. The luxurious rooms offer a picturesque view of the landscape outside. The staff is at the front desk around the clock, allowing guests to easily plan their tours of Sintra’s many historic sites. Guests can also lounge while enjoying a view of the nearby lake, making this a great relaxation destination after a day filled with sight-seeing.

CLICK HERE FOR AVAILABILITY – THE BIESTER CHARM HOUSE

Related Articles:
Check out the best day trips from Lisbon.
Don’t miss our list of the best things to do in Lisbon.
And or recommended 2 day Lisbon itinerary!