Where To Stay In Lisbon? Guide For First Timers

When staying in Lisbon, especially for the first time, you probably wonder where to stay. You want to avoid staying on the wrong side of the river, as you’ll have to spend endless time on transport.

Stay in areas near the center where everything is happening, but stay true to your values so you have a wonderful vacation.

I love staying in Principe Real because it’s super close to the city center, but a little farther out, so I don’t experience much noise at night.

So, depending on your values, choose the neighborhood that best matches you.

I’ve written a complete guide to Lisbon’s neighborhoods, where you can explore each area in detail before deciding.

Best Neighborhoods To Stay In Lisbon

Lisbon is separated into multiple areas, from Alfama to Belem and everything in between.

The area you should stay in is the one that best matches your values.

Chiado is the best area overall, but Bairro Alto is better if you want to be closer to nightlife.

Principe Real is perfect if you want no noise during the night but still be close to the city.

And if you want to experience Feira da Ladra and São Jorge Castle and ride Tram 28, then Alfama is actually the best option.

I’ll do my best to highlight which areas suit which types of people, so it should be easy for you to choose where to stay in Lisbon.

1. Chiado: Central and Energetic

Chiado is right between Bairro Alto and Baixa. It’s a beautiful area with endless stores and a shopping mall in the center: Armazéns do Chiado.

I often spend a lot of time in Chiado because there are so many cool stores and restaurants in all corners and small streets.

If you walk up the hill near Armazéns do Chiado, you will reach a beautiful area with a cozy outdoor café where many people enjoy coffee.

They also have niche clothing stores, shoe stores, and small, cute stores. You can also find customized jewelry that looks super unique.

Overall, it’s just an area with an awesome vibe, always something happening.

It doesn’t get more central than Chiado.

2. Baixa: Right in the Center

Baixa is an area with so much energy and life, and an incredibly large number of restaurants.

I can’t begin to fathom how much Chiado has to offer, but the main street has the most stores and events.

The main street has some restaurants, but the street parallel to it has even more restaurants, and it is just a one-minute walk from the main street.

Street artists often perform at Arco da Rua Augusta, and on some days, you’ll find a small market with beautiful pieces to buy.

If you’re up for a snack, you can buy a pastel de nata at my favorite place: Manteigaria, right on the main street.

It’s an area of Lisbon where there is always something happening, which includes a lot of tourists, but also events, and then it’s just close to everything.

3. Principe Real: Incredible Restaurants

Principe Real is my new favorite area, and I’ve stayed there the last couple of times I’ve been in Lisbon.

My favorite hotel, The Vintage, is right in Principe Real, and it’s close to everything.

Principe Real itself has so much to offer, including unique stores, some of the best restaurants in Lisbon, and a cozy Saturday Market.

If you like parks, there is also a beautiful park in the middle of Principe Real, and you’re close to the center.

I think Principe Real is truly a gem with the many restaurants, stores, and you’re close to everything, and some incredible hotels.

4. Bairro Alto: Where the Nightlife Happens

After living in Alfama, I moved to an Airbnb in Bairro Alto for a month, which is something totally unique.

If you’re into bars, clubs, and nightlife in general, with some super small, unique restaurants, then this is the area for you.

I remember trying a tapas restaurant on two floors in Bairro Alto; it was incredible. That said, you get incredible food in restaurants almost everywhere you go.

When it comes to bar life, there are all types of bars and clubs; you just need to find one you like or do a pub crawl.

Bairro Alto is a noisy area, so if you plan to sleep a lot, don’t stay there.

5. Alfama: The Oldest Part of Lisbon

Alfama has always held a special place in my heart because that was the first place I stayed when I moved to Lisbon in 2018.

It’s such a romantic area with small, narrow streets, the famous flea market Feira da Ladra, and beautiful monuments.

If you stay in this area, you have to try some of the local cafés, which serve incredible orange juice and coffee. It’s just such a unique experience.

They have a beautiful cathedral as well, and much more. Be aware it’s very hilly, so if you’re not up for a lot of walking, this might not be the best area to stay in.

6. Belem: The Historic Area of Lisbon

Belem is further away from the center, so if you don’t plan on spending a lot of days in the center, Belem can be a perfect area to stay in.

It’s right down to the Tagus River, so you have a beautiful view of the river wherever you are.

Belem has many monuments and a history to offer. If you’re into Portugal’s history, this is the area to stay.

You can also get the famous Pastel de Belém while wandering around the city.

Belem is not known for shopping, so for shopping, choose Chiado or Baixa. But for monuments, history, and museums, there is nothing better than Belem.

And you can still get to the center by Uber in 15-20 minutes, so it’s not that far from the center. You can also take a bus if you prefer that.

Where NOT To Stay In Lisbon

While there are many great areas to stay in Lisbon, there are some areas you want to avoid, not because they’re dangerous, but just because you’ll spend a lot of time on transportation.

• North of Rua do Salitre: Beyond this point, you’ll get too far away from the center.
• East of Alfama: It’s great to visit during the day if you want to, but I don’t recommend staying there.
• West of Principe Real: Maybe you can stretch it to Campo de Ourique, but not further.
• Cais de Sodre: This area is great during the day with the Timeout Market, but it can get a little sketchy in the evening. If you’re here during the evening, make sure you’re not alone; otherwise, take an Uber.
• South of the 25th Abril Bridge: Unless you have a specific purpose, such as surfing in Costa da Caparica, I recommend staying north of the beautiful red bridge. Crossing the bridge every day with all the traffic is a nightmare.

For a full breakdown of safety by neighborhood, including areas to avoid, read my guide on “Is Lisbon safe?“

Wrap Up

The area you’re staying in, Lisbon, needs to rime on your values, and that’s why Lisbon is incredible with so many different neighborhoods.

If you want to be in the center where everything is happening, try Bairro Alto, Chiado, or Baixa.

If you want to experience the historical side of Lisbon and are willing to drive 20 minutes from the center, Belem is perfect.

The new hidden gem area is Principe Real, which has a little bit of everything, is close to the center, and has some of the best restaurants.

Lastly, you have Alfama, the oldest part of Lisbon, which is super cozy and has a slow vibe.

Once you’ve figured out the area you want to stay in, you need to find your hotel and some things to do.

FAQ