Choosing between Chiado and Príncipe Real is a difficult one because both neighborhoods have a lot in common. They sit right next to each other, both are known for their beautiful streets, excellent restaurants, and relaxed atmosphere, and both are among the best places to stay in Lisbon.
The difference lies in the experience they offer. Chiado is more central, livelier, and packed with historic cafés, boutique shopping, and cultural attractions. Príncipe Real, on the other hand, feels more residential. It’s greener, quieter, and has become one of Lisbon’s trendiest neighborhoods over the past decade.
Neither area is a bad choice. It simply depends on whether you value convenience or a more local atmosphere. In this guide, I’ll break down the strengths and weaknesses of both neighborhoods so you can easily decide which one fits your travel style.
Chiado is one of Lisbon’s most elegant neighborhoods. If you enjoy strolling through beautiful streets filled with boutique shops, historic cafés, theatres, and bookstores, you’ll probably fall in love with this part of the city.
One of Chiado’s biggest advantages is its location. You’re within walking distance of Baixa, Bairro Alto, Cais do Sodré, and even parts of Alfama. That means many of Lisbon’s main attractions can be reached without relying on public transport.
The neighborhood strikes an excellent balance between sightseeing and relaxation. During the day, the streets are lively without feeling overwhelming, while in the evening you can enjoy dinner at one of the many excellent restaurants before grabbing a drink nearby.
Another huge advantage is its proximity to Bairro Alto. Lisbon’s most famous nightlife district is literally around the corner. You can spend the evening bar hopping and still be back at your hotel within a few minutes. At the same time, most parts of Chiado remain surprisingly peaceful after dark, especially compared to staying inside Bairro Alto itself.
Food lovers will also appreciate Chiado. You’ll find everything from traditional Portuguese restaurants to fine dining, alongside countless cafés where you can enjoy a coffee and a pastel de nata while watching the city go by.
Of course, Chiado isn’t perfect. Hotels here are among the most expensive in Lisbon, especially during the summer months. You’re paying for the location, and that comes at a premium.
The neighborhood is also built on a hill. Although it’s less demanding than Alfama, expect to walk up and down slopes several times a day. Fortunately, public transport is excellent, and several tram lines and nearby metro stations help make getting around easy.
Overall, Chiado is one of Lisbon’s most complete neighborhoods. It offers the convenience of staying in the city center while maintaining a sophisticated atmosphere that’s difficult to find elsewhere.4
If Chiado is elegant, then Príncipe Real is effortlessly cool.
Over the past few years, this neighborhood has become one of Lisbon’s trendiest areas. Boutique hotels, independent cafés, stylish restaurants, concept stores, and beautiful townhouses have transformed what was once a quiet residential district into one of the city’s most desirable places to stay.
Unlike Chiado, Príncipe Real doesn’t feel particularly touristy. You’ll still encounter plenty of visitors, but the neighborhood continues to attract locals who come here for brunch, shopping, and evenings on one of the many terraces.
One of its biggest strengths is the atmosphere. The streets are lined with trees, small gardens, and colorful buildings, giving the area a much greener feel than most central neighborhoods. It’s also noticeably quieter, making it ideal for travelers who want to stay close to the action without constantly being surrounded by crowds.
The food scene is another highlight. Some of Lisbon’s best restaurants, cocktail bars, specialty coffee shops, and bakeries are located here. It’s the type of neighborhood where you can spend an entire afternoon wandering from café to boutique without having a real plan.
Príncipe Real also borders Bairro Alto, meaning Lisbon’s famous nightlife is still only a short walk away. The difference is that you’ll return to a much calmer neighborhood afterwards.
There are, however, a few disadvantages.
Public transport isn’t quite as convenient as in Chiado. While trams and buses serve the area, you’ll often find yourself walking a bit farther to reach the metro.
The hills are another factor to consider. Príncipe Real sits on one of Lisbon’s higher points, so expect some fairly steep walks depending on where your hotel is located. If mobility is a concern, Chiado is generally the easier option.
Lastly, accommodation here can be surprisingly expensive. As the neighborhood continues to grow in popularity, hotel prices increasingly rival those in Chiado.
Still, if you’re looking for a neighborhood that feels stylish, authentic, and just a little less obvious, Príncipe Real is one of Lisbon’s finest places to stay.
So, which neighborhood should you choose?
If it’s your first time visiting Lisbon, I’d generally recommend Chiado. Its central location makes sightseeing incredibly easy, and you’ll be within walking distance of many of the city’s biggest attractions. It offers the perfect balance between culture, shopping, restaurants, and nightlife.
Príncipe Real, however, offers a different kind of experience. It’s quieter, greener, and feels more residential while still being close to everything. If you’ve already visited Lisbon before or simply prefer staying in a neighborhood with more local character, it’s an excellent choice.
Personally, I’d choose Chiado for a first visit and Príncipe Real for a second. Chiado allows you to explore Lisbon effortlessly, while Príncipe Real lets you experience a side of the city that many first-time visitors overlook.
Fortunately, you can’t really go wrong. Since the two neighborhoods are only a short walk apart, you’ll probably end up spending time in both no matter where you decide to stay.