Best Boutique Hotels In Lisbon

In October 2022, Portugal was named Europe’s best tourist destination (again!), the fifth time the country has topped the European edition of the World Travel Awards. With this watershed win, its capital Lisbon was also crowned ‘Leading City Break Destination’ and ‘Leading Seaside Metropolitan Destination.’

Lisbon is on a roll.

Home to a thriving restaurant scene with streets, even riverfronts, brimming with bars, Lisbon is hip and charming, with affordable prices to boot. Also known as the city of hills – and winding streets – Lisbon offers a unique blend of history, culture and architecture best explored on foot or via the historic Remodelado trams.

Once you’re ready to retreat indoors, you’ll discover that the maritime city is also home to a plethora of luxurious yet intimate lodging options that also offer a deep dive into the city’s storied culture and architecture. We comb through a crop of the city’s finest boutique hotels and condense it into this shortlist.

Palacio Principe Real

This 27-room palatial property in pink situated in the upscale Principe Real neighbourhood weaves timeless elegance with a homey feel anchored on genuine hospitality. Originally built in 1887 as the home of an aristocratic family, the property once served as an office building before it fell into derelict state for a decade. An English couple discovered and lovingly restored it into a boutique inn with an Indian runner duck for its logo. Poised and resolutely grand with many of its original finishings restored, the hotel showcases the property’s original thick stone walls with windows bearing original wooden shutters and an interior fitted with locally sourced stone marble and Portuguese pine wood flooring. Even the original azulejo (Portuguese white and blue tiles) have been given a new lease of life as a wall art piece in the living room. Rooms come in unique shapes and sizes but they are all breezy, with soaring ceilings and floor-to-ceiling windows and an array of luxe mod cons – Smeg kettle and fridge as well as Dyson hair dryer. Unusually for a city lodging, it rests on 1,400 square meters of lush greenery shrouded lawn boasting 500 types of foliage (some of which adorn the rooms), an edible herb garden and a solar-heated infinity pool. Breakfast is a la carte only, with a focus on healthy eating – they curate fresh local, organic, produce augmented with small- batch-produced extra virgin olive oil manufactured by the owners. If you’re visiting in summer, opt to have your breakfast outdoors at the patio.

Best for all-round luxury

Palacio Ludovice

Originally the private residence of João Frederico Ludovice, an architect to King João V in the 18th century, this 61-room hotel is located strategically across the road from Miradouro de São Pedro de Alcântara, Lisbon’s most iconic observation point. It survived the Great Earthquake of 1755 and once housed a bar featuring more than 200 types of port wines. Transformed under the watchful eyes of architect Miguel Câncio Martins, the hotel opened in 2002 with a distinguished bright-yellow facade headlined by a gigantic entrance framed by decorative pilaster, and interiors that marry original 18th century grandeur with a touch of contemporary brilliance. Befitting its pitch as a wine experience hotel, the hotel’s Federico restaurant offers a 115-strong wine list that represents every wine region in Portugal, and all hotel guests are invited to partake in the daily sommelier-led Portuguese wine tasting at 6pm (by appointment only). All rooms are shaped differently and bathed in shades of soft pastel with views of either the vertical courtyard garden or the city. The best rooms in the house are the newly constructed loft rooms with unblocked panorama of the city. To fit in with its wine theme, all rooms feature Caudaline amenities and should you be in need of rejuvenation, look no further than the vino-inspired wellness treatments at Caudalie Boutique Spa. 

Best for wine buffs

AlmaLusa Baixa Chiado

Alma means “soul” in Portuguese while Lusa refers to Lusitanians, ancestors of the current day Portuguese culture. Founded in 2016, the 28-room boutique hotel rests in a corner of the historic Municipal Square, adjacent to the City Hall. Housed in an 18th century building on the grounds of a former arsenal, the hotel’s location is magnificent – it’s a stone’s throw from the Tagus River and within walking distance to the main Railway Station of Rossio. To fit in with its historic surroundings, the hotel decks itself in a rustic palette of earthy grey with exposed stone walls, distressed wood and exposed iron girders. Once indoors, guests are greeted with wallpaper in soothing shades of brown and grey, and rustic furnishings in brushed brown leather and intricately patterned cushions. Rooms are not uniformly designed as they all come in different shapes and sizes, but they are well-appointed and natty with personality. A great choice even if facilities are limited due to the hotel’s listed status, bear in mind that rooms do not come with a landline, but upon request, you’ll be given a phone with mobile data and access to the hotel reception. Filtered water is on-the-house but you would need to bring the glass flask to the reception personally for a refill.

Best for location

The Ivens

Centrally located at the intersection of Rua Ivens and Rua Capelo, the 87-room “Explorers” hotel tells the tale of the streets’ namesakes and two of Portugal’s greatest explorers – Roberto Ivens and Hermenegildo Capelo –  who traversed the ocean and explored Southern Africa in the 19th century. Housed in a 19th century building with an equally illustrious history (it was once home to a warehouse and, most recently, a radio station), the hotel pays homage to the adventurers’ great escapade with a dim lit but intricately decorated lobby in exotic safari-esque style – think eclectic trinkets, leather armchairs, plush velvet seats and lots of soft lighting from quaint lamps. The rooms are small and luxurious yet minimalist, with tasteful tropical-inspired wall art that pays tribute to Portugal’s Golden Age and amenities by Acqua di Parma. The hotel is also home to the Lázaro Rosa-Violan-designed Rocco Ristorante, a gilded and glamorous 165-seat Italian restaurant and bar. For sure, come for the cocktails but also, stay for dinner – the Sado River oysters served on ice with mignonette, the veal tenderloin carpaccio with rocket leaves and Parmesan cheese and the lip-smacking gelato are not to be missed.

Best for Culture

1908 Lisboa Hotel 

Sited at Intendente, formerly a red-light district, 1908 Lisboa Hotel is a beacon of light to independent travellers who prefer to discover something a little offbeat. Set in a gently gentrifying neighbourhood where people from over 80 nations reside, the seven-year-old hotel is small – with only 36 rooms and a lobby big enough for four. But what it lacks in size, it makes up for with character. The hotel’s Art Noveau architecture – awarded The Valmor Prize back in 1908 – has been restored to its former glory, while indoors, the public spaces spot a soaring ceiling with exposed ductworks and a modern post-industrial interior showcasing eye-catching artworks. The rooms, while mostly petite, are functional but concierge service via WhatsApp is exceptionally attentive. With double rooms starting from a reasonable below 200 Euros per night in summer, this quirky hotel offers great bang for buck. 

Best for Affordability

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