A Guide to Lisbon’s Best Neighbourhoods

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Last updated on September 20, 2024

Lisbon is a city that captures the hearts of both visitors and residents alike. With its rich history, stunning architecture, delicious cuisine, and warm, welcoming atmosphere, it’s no wonder that more and more people are choosing to call Lisbon their home or spend their holidays exploring its charming streets.

However, with so many diverse neighbourhoods to choose from, it can be challenging to know which one is right for you. Whether you’re looking for a lively area to stay during your visit or a Lisbon property to call home, this guide will take you through some of the best neighbourhoods in Lisbon.

From the historic streets of Alfama to the trendy vibes of Bairro Alto and the upscale elegance of Chiado, we’ll explore what makes each area unique and help you find the perfect spot to suit your needs. So, let’s dive in and discover the best that Lisbon has to offer!

Alfama

buildings in Alfama

Alfama is Lisbon’s oldest neighbourhood, with a maze of narrow streets, colourful houses, and a strong sense of community. This is the place to experience traditional Lisbon, with its Fado houses, small shops, and stunning views from the Miradouros (viewpoints). You’ll lose count of the number of pictures you take!

While tourism has had an impact on Alfama, with many residents moving out to make way for vacation rentals, the neighbourhood still retains much of its authentic charm. Visit during the Santo António festival in June to see the streets come alive with music, dancing, and grilled sardines.

Alfama is a must-visit for anyone interested in Lisbon’s history and culture, but it may not be the best place to stay if you’re looking for modern amenities or a quiet night’s sleep.

As for a place to live, it has plenty of tradition and character. Unfortunately, however, many of the local amenities have left and most of the local businesses are now Airbnbs, souvenir shops, or petiscos bars.

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Baixa

Praça do Comércio from above

This central neighborhood is delightfully flat (a rarity in hilly Lisbon!), with grand buildings and impressive squares that’ll make you feel like you’ve stepped back in time.

Rua Augusta is the star of the show, a wide pedestrian street lined with shops and cafes that leads to the magnificent Praça do Comércio square on the riverfront. Another must-see is the Elevador Santa Justa, a beautifully crafted elevator designed by a student of Gustave Eiffel (of Eiffel Tower fame). Take a ride to the top for stunning views over the city.

While Baixa is quite touristy, with plenty of souvenir shops and overpriced restaurants, there are still some hidden gems waiting to be discovered. Peek into the traditional shops that have been around for decades, or grab a coffee at one of the charming cafes and watch the world go by.

In the evenings, Baixa quiets down as there aren’t many bars or nightlife spots. It’s not the most residential area either, so you might find it a bit too quiet if you’re looking to stay in the heart of the action. But if you want somewhere right in the middle of Lisbon’s city centre, Baixa (or Chiado) is hard to beat.

Chiado

chiado

Chiado is a shopper’s paradise, with everything from high-end boutiques to beloved Portuguese brands. Bookworms will love exploring Livraria Bertrand, the world’s oldest bookstore, while fashion enthusiasts can browse the trendy clothing shops.

But Chiado isn’t just about shopping. This neighbourhood has a rich cultural history, with iconic cafes like A Brasileira, once frequented by famous Portuguese writers such as Fernando Pessoa. Take a break from shopping to enjoy a coffee and soak up the literary atmosphere.

Chiado is also a great starting point for exploring other parts of the city, as it connects to neighborhoods like Baixa and Cais do Sodré. You’ll find a mix of locals and tourists here, giving it a lively, cosmopolitan vibe.

As a central place while visiting perfect, Chiado is perfect. Sure, there’s a hill to climb, and it can be very busy, but you can’t fault it for being central.

As a place to live, it’s a popular location due to it being so central. You will have to dodge thousands of tourists every day, but that’s the price you pay for being right in the centre.

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Príncipe Real

market principe real

If you’re looking for a cool, laid-back vibe, head to Príncipe Real. This neighbourhood is known for its trendy restaurants, boutique shops, and beautiful park, which hosts a popular organic farmers’ market on Saturdays.

Despite being next to the lively Bairro Alto, Príncipe Real has a much more relaxed atmosphere, making it a great place to stay if you want to be close to the action but still have a peaceful retreat. The neighborhood also boasts some stunning views over the city from its Miradouros.

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Graça

Largo da Graca

Although Graça is located next to touristy neighbourhoods like Alfama and Castelo, the restaurants and pastelarias are still very traditional, very Portuguese, and very affordable.

It is quite popular with tourists, particularly for its beautiful Miradouro da Graça, but generally only with those that manage to get on Tram 28: Graça is on one of the highest points in the city, and walking up the hill can be pretty tough if you’re not used to it.

If you do make it to the top, though, it’s definitely worth it. Graça has some of the best views of the city.

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Bairro Alto

Speaking of Bairro Alto, this is the place to be if you’re looking for a night out. The narrow streets are packed with bars, restaurants, and clubs, with something for every taste and budget. Grab a cheap beer or caipirinha and join the party!

During the day, Bairro Alto is much quieter, with a few shops and cafes open for business. It’s not the most residential area, so keep that in mind if you’re looking for a place to stay. If you do choose to stay here, look for accommodations with good soundproofing to ensure a good night’s sleep.

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Cais do Sodré

pink street in Cais do sodre

In recent years, Cais do Sodré has transformed from a gritty transportation hub to a vibrant nightlife destination. The famous “Pink Street” is lined with bars and clubs, making it a popular spot for a night out.

But there’s more to Cais do Sodré than just partying. The Time Out Market is a foodie paradise, with stalls serving up delicious dishes from some of Lisbon’s top chefs. During the day, you’ll find plenty of shops, cafes, and restaurants to explore.

If you’re considering staying in Cais do Sodré, choose your accommodation carefully, as some areas can be quite noisy at night. Look for quieter side streets or properties with good soundproofing.

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Belém

Jeronimos Monastery

Belém is a must-visit for anyone interested in Lisbon’s maritime history. This neighborhood is home to some of the city’s most famous landmarks, including the Belém Tower, Jerónimos Monastery, and the Discoveries Monument.

But let’s be real – the main reason to come to Belém is for the pastéis de nata. These creamy egg tart pastries were invented here, and the original bakery, Pastéis de Belém, still draws long lines of hungry visitors.

While Belém is quite touristy during the day, it’s a relatively quiet and residential area at night. If you’re looking for a peaceful place to stay with easy access to some of Lisbon’s top attractions, Belém might be a good choice.

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Campo de Ourique

Mercado-Campo-Ourique_mini

Nestled in the heart of Lisbon, Campo de Ourique is a residential neighbourhood that has quietly become one of the city’s most desirable locations to live. This upscale area has a particular appeal to young professionals and families, who are drawn to its perfect blend of modern convenience and traditional charm.

Campo de Ourique is home to an array of fashionable restaurants, each offering a unique dining experience. From cozy bistros serving up classic Portuguese dishes to international eateries showcasing flavours from around the world, there’s something to satisfy every palate.

At the heart of Campo de Ourique lies the Mercado de Campo de Ourique, a hidden treasure that rivals the famous Time Out Market in Cais do Sodré. This smaller, less well-known market is a food lover’s paradise, offering an impressive selection of gourmet treats and artisanal products. V

isitors can sample local cheeses, savor freshly baked bread, or indulge in a glass of fine Portuguese wine. The market also features a handful of small restaurants, each serving up delectable dishes made with the freshest ingredients.

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Alcântara

LX Factory

Once a traditional working-class neighbourhood, Alcântara has undergone a remarkable transformation in recent years, emerging as one of Lisbon’s most sought-after destinations. The catalyst for this change is undoubtedly the LX Factory, a former industrial complex that has been given a new lease on life.

Stepping into the LX Factory is like entering a hipster haven. Old factory buildings have been regenerated and now house a plethora of trendy coffee shops, artisanal boutiques, innovative restaurants, and creative co-working spaces.

Despite its growing popularity, the neighbourhood has managed to retain some of its traditional essence. Venture beyond the hipster hotspot, and you’ll discover a network of narrow streets lined with authentic Portuguese restaurants and pastelarias (pastry shops).

Another advantage of Alcântara’s location is its proximity to the iconic 25 de Abril Bridge. This stunning suspension bridge, often compared to San Francisco’s Golden Gate Bridge, offers breathtaking views of the Tagus River and the city skyline. For those with a car, the bridge also provides easy access to the other side of the water, opening up a world of possibilities for exploration.

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Santos

Situated just outside of Lisbon’s core city centre lies the quiet, residential neighbourhood of Santos. Known for its design school, IADE, and its design shops, the area is popular with art lovers and art students.

The area is fairly quiet and non-touristic as it’s that little bit too far from the main hub. Restaurants and cafes are less crowded, and the neighbourhood has a very calm feel to it.

Mouraria

Praça Martim Moniz

Nestled in the heart of Lisbon lies the enchanting neighborhood of Mouraria, a 900-year-old area steeped in history and cultural diversity. This is the birthplace of Fado, the soulful Portuguese musical genre that has captured the hearts of people around the world.

Mouraria’s multicultural roots run deep, dating back to the 12th century when D. Afonso Henriques reclaimed Lisbon from the Moors. In a gesture of tolerance, he allowed the Moors to continue living in this neighbourhood for another 300 years, until they were eventually expelled from the city along with the Jews. Today, Mouraria remains a vibrant melting pot, home to people from Bangladesh, China, India, Pakistan, Mozambique, and many other corners of the globe.

As you wander through the narrow streets of Mouraria, you’ll discover a treasure trove of attractions. Largo do Intendente, a charming square lined with cafes and shops, is the perfect spot to soak up the neighborhood’s atmosphere. The Igreja de São Cristóvão and Igreja de Nossa Senhora da Saúde are two beautiful churches that showcase the area’s rich religious heritage.

In recent years, Mouraria has begun to experience a wave of gentrification, particularly around Martim Moniz Square. While this has brought new life and energy to the neighborhood, some visitors may still feel a bit uneasy exploring the area at night.

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Parque das Nações

boardwalk at parque das nacoes

Welcome to Parque das Nações, a testament to Lisbon’s ability to transform and adapt to changing times. Parque das Nações underwent a remarkable metamorphosis thanks to Expo ’98, a world fair that showcased the theme “The Oceans, a heritage for the Future.” The event breathed new life into the area, setting the stage for its evolution into a modern, thriving community.

The modern apartments and hotels may lack the traditional charm of Lisbon’s city center, but they offer a unique perspective on the city’s ongoing evolution. As they’re newer, they also typically built to higher standards, and so may lack some of the noise and heat insulation problems found in some other city centre apartments.

Parque das Nações comes alive during special events, such as concerts and conferences like the annual Web Summit, which draws thousands of tech enthusiasts from around the globe. However, even on quieter days, the neighbourhood’s lush parks, riverside walks, and cutting-edge attractions provide a refreshing escape from the bustling city centre.

Due to the lack of historical tourist attractions, the neighbourhood is quite quiet, made up mostly of residents and those visiting the Vasco da Gama shopping mall or Oriente bus and train station.

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Marvila

In the 19th century, Marvila was Lisbon’s manufacturing heart, with factories and warehouses dominating the landscape. But as industries declined in the late 20th century, the area fell into neglect, leaving behind a series of abandoned buildings and crumbling architecture.

Fast forward to today, and those once-derelict spaces are being given a new lease on life. Artists, entrepreneurs, and young Lisboetas have flocked to Marvila, drawn by the area’s affordable rents and unique character. Abandoned warehouses have been converted into trendy studios, art galleries, and coworking spaces, while craft beer breweries and coffee shops have popped up to cater to the neighbourhood’s creative crowd.

While there aren’t many traditional tourist attractions in Marvila, the Igreja de Marvila is definitely worth a visit. This stunning church dates back to 1680 and features a breathtaking interior decorated with gilded woodwork and baroque tile panels.

Despite its growing popularity, Marvila still retains a peaceful, laid-back vibe. And with excellent public transportation links to the city center, you can easily explore all that Lisbon has to offer while still enjoying the unique character of this up-and-coming neighborhood.

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