Cheap Hotels in Lisbon City Centre

Find low cost deals for accommodation in the heart of the Lisbon city centre in Portugal. Stay in downtown near main sights, landmarks and central squares. There is an excellent selection of great value hotels and charming b&b’s located in downtown Lisboa.

Lisbon City Centre consists out of several neighbourhoods.

The Lisbon Rossio area is formed around Rossio Square or Pedro IV Square. It is the main, busiest and liveliest square in downtown Lisbon Portugal, where people stop to sit and relax, or for a drink at the several atmospheric cafes with outdoor sitting. Once used as a cattle market, a public execution center, bullfight arena and carnival ground, today the Praça serves both for the locals and the tourists with its well-known cafés.

Principe Real located nearby Bairro Alto is a trendy quarter where you can find several gay bars and clubs, and the area with the most antique and fancy shops, especially along Rua da Escola Politecnica and Rua Dom Pedro V.

Chiado is an elegant shopping and sophisticated district of theaters, bookshops, old-style cafes, and art nouveau jewelry shops. Statues of literary figures such as Fernando Pessoa, Luis de Camões, and Eça de Queiroz are located in this area.

Bairro Alto is the city’s vibrant nightlife quarter. You can stroll through the cobbled lanes and enjoy excellent traditional and international restaurants, tourist-packed Fado Houses, and bars.

Baixa or Downtown is the heart of the city, and the main shopping and financial district. It stretches from the riverfront to the main avenue (Avenida da Liberdade). Due to its central location, many hotels are located in this downtown area.

Alfama is a lovely and district for walkers and photographers, and the oldest district of Lisbon Portugal named by the Moors. It’s an area of small narrow streets, tiny squares, churches, and whitewashed houses very close to each other. Alfama is overlooked by the mediaeval Castle of São Jorge.

Main squares located in Lisbon City Centre, Portugal

Rossio Square or Pedro IV Square — main central city centre square near Rossio train station. The neoclassical Teatro Nacional de Dona Maria II, built in 1846 by Fortunato Lodi, occupies the north side of the square. It is surrounded by a sculpture of Portuguese playwright Gil Vicente. During the 18th century this was the site of the Palace of the Inquisition, where in 1761 the sentences of the auto da fés were meted out. In the centre of the square stands the 27-m high statue of Dom Pedro IV, the emperor of Brazil before ascending the Portuguese crown in 1826. The marble pedestal features figures representing Justice, Strength, Prudence and Temperence. To the northwest stands the interlocking horseshoe arches of Rossio station. Designed in 1887, this neo-Manueline confection characterized a late 19th-century nostalgia for the period of the Discoveries. Several excellent and cheap hotels can be found within easy walking distance of the square such as the Internacional Design Hotel and Pensão Estação Central.

Praça Afonso de Albuquerque or Afonso de Albuquerque Square — central city square in the Belém district of Lisbon Portugal, situated in front of Belém Palace, the residence for the President of Portugal.

Chiado — plaza set between the neighbourhoods of Bairro Alto and Baixa Pombalina. Located at the square is a statue of poet Antonio Ribeiro.

Praça de Entrecampos — plaza in central Lisbon which is the starting point of three major avenues; Avenida da República, Avenida dos Estados Unidos da América and Avenida das Forças Armadas. In the middle of the square stands a Monument to the Heroes of the Peninsular War.

Praça da Figueira or Square of the Fig Tree — large city centre square in Baixa Pombalina with an equestrian statue of King John I. Nearby are several cheap hostels and hotels. Right on the corner of Praça da Figueira is cheaply Lisbonview Hostel offering budget accommodation with free Wi-Fi access.

Praça do Comércio or Commercial or Trade Square — located near the Tagus River. The square more commonly known as Terreiro do Paço, or Palace Square because it was where the original Royal Palace was located, before the great Lisbon earthquake in 1755. Situated right at Plaça do Comercio is cheap Smart Hostel offering guest rooms with a view of the Tejo River or the square.

Praça do Império or Empire Square — largest square in Portugal surrounded by the Jerónimos Monastery and the Belém Cultural Center.

Praça dos Restauradores or Restauradores Square — central Lisboa square dedicated to the restoration of the independence of Portugal in 1640 with in the middle the Monument to the Restorers. Located at the Restauradores Square and boasting panoramic views of São Jorge Castle is cheaper Hotel Americano.

Praça do Marquês de Pombal or Marquess of Pombal Square — square located between the Avenida da Liberdade (Liberty Avenue) and the Eduardo VII Park and surrounded by several great value hotels and cheaper hostel accommodations.

Largo do Carmo — picturesque square in central Lisbon surrounded by bars and restaurants with terraces.