Where to Stay in Lagos, Portugal: 3 Best Areas & Hotels

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Trying to figure out where to stay in Lagos? You’re not alone. 

Despite its relatively small size, Lagos offers a surprisingly wide mix of neighborhoods, each with a very different feel depending on how you want to spend your time. Some areas put you right in the middle of historic streets and boat tours, while others are better suited to long beach days or quiet coastal scenery.

After exploring Lagos from multiple angles, we’ve narrowed it down to the three best areas to stay, each matched with hotel picks we genuinely recommend. Below, we break down what makes each area special to help you choose the right base for your trip, without overcomplicating things. Let’s get you settled in the right part of Lagos!

Where to Stay in Lagos Map

Overview of the Best Areas to Stay in Lagos

Lagos is one of those places that’s easy to fall in love with, especially because it’s small enough to feel manageable but varied enough that where you stay really shapes your trip. The town naturally breaks into three main “home zones.” 

There’s Old Town and the Marina, which is the most central area for restaurants, shops, and tour departures. Meia Praia sits to the east and is all about long beach days and relaxed, beachfront-style stays. Then to the west, the clifftop areas around Dona Ana, Ponta da Piedade, and Porto de Mós offer some of the most scenic views in the Algarve, with a quieter, more laid-back vibe.

For its size, Lagos packs in a surprising amount of accommodation, with clusters of hotels around Meia Praia and the western beaches, plus boutique-style options near the Marina and Old Town. While the historic center is very walkable, Lagos isn’t somewhere you casually stroll between every beach area—distances and hills add up quickly. 

Thankfully, getting around is easy thanks to the A Onda bus network, especially Line 2 (the “Beach Route” or Linha Azul), which connects Old Town, Dona Ana, Porto de Mós, and Meia Praia without any hassle.

Here’s a quick breakdown of the best areas and hotels to stay in Lagos:

• Old Town & Marina – Best for first-time visitors – Old Town and the Marina are the most central places to stay in Lagos, ideal for sightseeing, dining, and easy access to boat tours and transport. Tivoli Lagos is a standout mid-range choice here, offering a central location, resort-style amenities, and a seasonal shuttle to its private beach club.

• Meia Praia – Best for beach days – Meia Praia is perfect if your trip revolves around long, sandy beach days and a slower pace, with spacious accommodations right near the water. A great-value option in this area, Dom Pedro Lagos offers apartment-style units with balconies, pools, and easy access to the beach.

• Torraltinha – Best for scenery & quieter stays – The Torraltinha area is ideal for travelers seeking dramatic coastal views and a calmer atmosphere near some of Lagos’ most beautiful beaches. The Editory by the Sea Lagos is a stylish mid-range hotel here, combining modern comfort, spa facilities, and sea-view rooms in a peaceful clifftop setting.

Where to Stay in Lagos

Old Town & Marina

BEST FOR FIRST-TIME VISITORS

Pros

• Central location close to restaurants, shops, and tour departures
• Walkable historic center with easy transport connections

Cons

• Not directly on the main beaches
• Can feel busy during peak summer months

Old Town and the Marina are the most convenient places to stay in Lagos, which is exactly why they’re such a great fit for first-time visitors. You’re right in the thick of things here, surrounded by cobblestone streets, historic buildings, lively squares, and more restaurants and cafés than you’ll ever realistically try in one trip.

Many of Lagos’ key sights are an easy walk away, including the City Walls, Igreja de São Sebastião, and Forte da Ponta da Bandeira, so it’s easy to soak up the town’s history without constantly hopping on transport.

Down by the Marina, things feel a bit more modern, and this is where most of Lagos’ headline experiences kick off. Boat trips to the Benagil caves, grotto cruises, dolphin-watching tours, and kayaking adventures all depart from here, which makes those early starts much more manageable. You won’t be staying directly on a big beach, but Praia da Batata and Praia dos Estudantes are close by, and buses run frequently to Meia Praia and the western beaches.

Overall, this area is perfect if you want a well-rounded Lagos stay with sightseeing, food, and tours all within easy reach, especially if you’re skipping the car rental.

Lagos Avenida Hotel – $$$

Lagos Avenida Hotel is a modern waterfront stay set right on the Marina, just a short walk from Old Town and many of Lagos’ top tour departure points. With its clean design and calm atmosphere, it’s a great option for travelers who want a central location without the noise of staying inside the historic center. 

The rooftop pool overlooking the Marina is a real standout and a great place to relax after a full day of exploring. Back in your room, you’ll find plenty of space, comfortable beds, balconies with Marina or city views, and all the essentials like air conditioning, solid Wi-Fi, and a well-reviewed breakfast.

While it’s not directly on the beach, smaller beaches are within walking distance, and buses run nearby. Rooms usually range from €160–€320 per night, making this a strong choice for couples and first-time visitors who want views and convenience.

Check availability and book Lagos Avenida Hotel here!

If Lagos Avenida Hotel is fully booked, Hotel Marina Rio is an excellent alternative with a similar Marina-front location and easy walking access to Old Town and tour departure points. Rooms are comfortable and well-sized, many with water views, making it a reliable choice for travelers who want convenience without paying top-tier prices.

Another solid option in the same area is Marina Club Lagos Resort, which offers spacious apartment-style accommodations right on the Marina. With pools, on-site dining, and extra room to spread out, it’s especially well-suited to longer stays or travelers who prefer a resort-style setup while still staying close to the center.

Tivoli Lagos – $$

For a well-located, full-service hotel that offers a little bit of everything, Tivoli Lagos makes a solid mid-range choice in Old Town. Set just a short walk from the historic center and Marina, it combines a central location with resort-style amenities, including multiple pools, a spa, fitness center, and on-site restaurants. 

The Algarve-inspired décor gives the property a relaxed, local feel rather than a generic city hotel vibe. Plus, rooms are comfortable and practical, each with a balcony, air conditioning, and reliable Wi-Fi, which works well after long days of sightseeing. 

One of the biggest perks is the free seasonal shuttle to Tivoli’s private Duna Beach Club on Meia Praia, which adds real beach value to a city stay. Standard rooms typically range from €60–€250 per night, depending on season and room type. 

Secure your central base at Tivoli Lagos here!

For travelers who like Tivoli Lagos’ central location but prefer a smaller, more modern stay, Água Hotels Lagos Bay is a great pick close to the Marina and Meia Praia. It offers a quieter, more streamlined experience while still keeping you within walking distance of beaches, restaurants, and transport links.

If you want more space and a boutique feel, The Salty Lodge is another central location right in the heart of Old Town. These stylish apartments are ideal for couples or longer stays, especially if you want a kitchen and a slightly more private, residential vibe.

LagosMar Story Hotel – $

LagosMar Story Hotel is a friendly, family-run stay right in the heart of Lagos’ historic center, making it an affordable option for travelers who want location above all else. Set just a short walk from Batata Beach and the Marina, it puts Old Town restaurants, shops, and transport links within easy reach. 

One of the highlights here is the rooftop terrace, which offers panoramic views over the town and out toward Meia Praia Bay and is a lovely place to relax between outings. Rooms are simple but comfortable, with air conditioning, free Wi-Fi, and private bathrooms, offering everything you need for a short stay. 

There’s also a small bar and reading room, plus a 24-hour front desk that’s helpful with local tips and transport. Rates generally range from €60–€200 per night, making LagosMar Story Hotel a perfect choice for budget-conscious travelers. 

Lock in one of the best-value stays in central Lagos here!

For another affordable stay in a similar central location, Suites Inn Lagos is a solid option just outside the historic center. It offers simple, modern rooms and easy access to Old Town, the Marina, and public transport, which works well for short stays or travelers on the go.

Marina Club Lagos Resort is another budget-friendly choice right by the Marina, ideal if you want to be close to boat tours and waterfront restaurants. The rooms are basic but comfortable, and the location makes it easy to explore Lagos without needing a car.

Meia Praia

BEST FOR BEACH DAYS

Pros  

• Direct access to Lagos’ longest and most spacious beach
• Relaxed atmosphere with plenty of resort-style accommodations

Cons

• Fewer restaurants and nightlife compared to Old Town
• Less convenient if you want to sightsee on foot

Meia Praia is the go-to area in Lagos if beach time is your top priority. Stretching for several kilometers along the eastern side of town, this wide, sandy beach offers plenty of space to spread out, even during the busy summer months. The shoreline is lined with laid-back beach restaurants and bars, making it easy to settle in for long days of swimming, sunbathing, and leisurely lunches without feeling rushed.

This area really shines for travelers who want to slow things down. It’s a great fit for couples, families, or anyone whose ideal day involves more sand and sea than hopping between historic sights. Places to stay here are generally bigger and more resort-style, with beachfront hotels and spacious apartment complexes that come with pools, parking, and room to actually unwind.

You won’t find the same buzz of shops and nightlife as Old Town, but that’s kind of the point. The atmosphere is calmer, the beach is right on your doorstep, and everything feels a bit more relaxed.

When you do feel like heading into town, it’s easy enough. Regular buses and a nearby train station connect Meia Praia with Old Town and the Marina, so you can mix in sightseeing and dinners out without giving up those laid-back beach days.

Palmares Beach House Hotel – $$$

Palmares Beach House Hotel is a peaceful, adults-friendly retreat just outside central Lagos, perfect for travelers who want quiet beach days and sweeping ocean views. Set above Meia Praia, the hotel feels calm and secluded, with an infinity-style pool and terraces overlooking the Atlantic. 

Rooms are bright and spacious, each with a private balcony facing the sea, along with air conditioning, free Wi-Fi, and thoughtful touches that make it easy to settle in. An on-site restaurant serves Mediterranean dishes, and breakfast is included, so mornings are relaxed and unhurried. 

While you’ll need a car or taxi to reach Old Town, that distance is part of the appeal here. Rooms typically range from €120–€525 per night, depending on season and inclusions. 

For relaxing ocean views, book Palmares Beach House Hotel here!

If you’re too late for Palmares Beach House Hotel, Palmares Signature Apartments are a great option within the same resort area. These modern, well-designed apartments are ideal for longer stays or anyone who prefers having a kitchen while still enjoying easy access to Meia Praia and ocean views.

If you’re looking for a larger resort experience right on the sand, Iberostar Selection Lagos Algarve is another strong choice along Meia Praia. With multiple pools, on-site dining, and direct beach access, it’s especially well-suited to travelers who want an all-in-one stay without straying far from the shoreline.

Dom Pedro Lagos – $$

A relaxing aparthotel just a short walk from Meia Praia, Dom Pedro Lagos is a great choice if you want beach access without paying resort prices. The setup here is all about space and flexibility, with studios and apartments that suit couples, families, and longer stays. It’s quieter than Old Town, but still close enough to reach the center with a short drive or bus ride.

Every unit comes with a private balcony, plus either a kitchenette or full kitchen, which is ideal if you like having the option to cook or keep things casual. There’s a large outdoor pool, a separate children’s pool, and plenty of garden space to relax between beach visits. 

With free parking and easy access to water sports and golf nearby, it’s a practical base for an active Algarve stay. Rates generally range from €50–€190 per night, depending on the season and room type. 

For easy beach access in Meia Praia, book this affordable stay here!

If you’re planning a longer stay, Jardim da Meia Praia Resort is worth considering, especially if you want a more resort-like setting with landscaped gardens and pool areas. Just steps from the sand, this property typically requires a three-night minimum stay, making it ideal for relaxed, multi-day beach holidays rather than quick stopovers.

Related Read: If you need help organizing your trip, see our 2-Day Lagos Itinerary for our can’t-miss activities and hidden gems we found!

Torraltinha

BEST FOR SCENERY & QUIETER STAYS

Pros

• Stunning coastal scenery with dramatic cliffs and ocean views
• Quieter, more relaxed atmosphere than central Lagos

Cons

• Hills and distances make walking less practical
• Fewer dining and nightlife options nearby

This area on the western side of Lagos is all about scenery and slowing down. Set along the clifftops near some of the Algarve’s most photogenic coastline, it’s known for sweeping ocean views, rugged rock formations, and a calmer pace that feels worlds away from the bustle of Old Town. 

Beaches like Dona Ana, Camilo, and Porto de Mós are all nearby, offering clear water, golden cliffs, and some of the best sunset spots in the area. Honestly, it’s hard not to slow down when the scenery looks like this.

Torraltinha is best suited to couples, nature lovers, and travelers who value peace and views over nightlife and convenience. Many of the accommodations here are resorts or boutique-style hotels designed to take advantage of the setting, with terraces, pools, and walking paths that highlight the coastline. 

While there are a handful of restaurants in the area, most travelers head into Lagos for more dining options, which is easy enough by car, taxi, or bus.

Because of the hills and spread-out layout, this isn’t the most walkable area, but that’s part of its appeal. It’s ideal if you’re looking for a scenic base where beach time, coastal walks, and relaxed evenings take priority over being in the center of the action.

Cascade Wellness Resort – $$$

Cascade Wellness Resort is one of the most scenic places to stay in Lagos, set on a clifftop overlooking the Atlantic and just above Porto de Mós Beach. Surrounded by gardens and walking paths, it feels more like a destination in itself than just a hotel. The resort blends luxury with space, offering everything from hotel rooms to full apartments and villas, which work well for both couples and longer stays.

Rooms and suites are stylish and spacious, and many come with terraces or balconies that take full advantage of the ocean views. On-site, you’ll find multiple pools, a full spa, a large fitness center, and several restaurants ranging from refined dining to more relaxed options. 

While it’s a bit removed from Old Town, the peaceful setting is the draw here. Rates typically range from €130–€380 per night, depending on room type and season. 

Check availability for Cascade Wellness Resort here!

For a slightly more intimate resort experience nearby, Belmar Spa & Beach Resort is a great alternative close to Porto de Mós Beach. It combines apartment-style accommodations with a strong wellness focus, including a full spa and multiple pools, making it ideal if you want comfort and relaxation without the scale of a large resort.

Another standout in this area is Boutique Hotel Vivenda Miranda, a clifftop property known for its romantic atmosphere and sweeping ocean views. With its smaller size, classic styling, and excellent on-site dining, it’s especially well-suited to couples looking for a quieter, more intimate coastal stay.

The Editory by the Sea Lagos – $$

The Editory by the Sea Lagos is a stylish mid-range option in the clifftop area, offering a more modern, hotel-style stay without the scale of a large resort. Just a short walk from Dona Ana Beach, it’s a great choice if you want scenic surroundings with slightly easier access to beaches than some of the larger properties nearby. 

The vibe here is relaxed but polished, appealing to couples and small families alike. Rooms are bright and contemporary, each with a balcony, air conditioning, and modern comforts, with sea-view rooms being especially popular. 

On-site amenities include two pools, a spa with sauna and hammam, a fitness room, and a Mediterranean restaurant that makes mornings and evenings easy. While it’s quieter than Old Town, getting into the center is still straightforward by taxi or bus. Rates typically range from €150–€300 per night, depending on room type and season. 

Reserve this cozy, scenic stay here without going full resort!

For something with a bit more character, Costa d’Oiro Ambiance Village is a charming cliffside alternative near Dona Ana Beach. Made up of colorful villas and small buildings, it has a laid-back, village-style feel with multiple pools and a more personal atmosphere.

For something with a little more space, Giramar Apartamentos Turisticos offers simple, comfortable apartments with kitchens and plenty of room. It’s a practical choice for longer stays or travelers who want a quieter base close to the coast without resort pricing.

Lagos Atlantic Hotel – $

Lagos Atlantic Hotel is a great value pick in the clifftop area, offering a comfortable stay close to some of Lagos’ best beaches without the resort price tag. Located between Porto de Mós and Dona Ana, it’s ideal if you want easy beach access and a quieter setting, while still being a short ride from Old Town.

Rooms are modern, bright, and well equipped, with air conditioning, free Wi-Fi, and some options offering partial or full sea views. There’s a small outdoor pool, garden space, and a relaxed bar area, plus an excellent breakfast that consistently gets high marks from guests. 

Free parking and bike rentals make getting around simple, especially if you plan to explore the coastline. It’s a straightforward, no-fuss stay that punches above its price point. Rates start as low as €75 per night, depending on room type and season.

Reserve this affordable stay near Lagos’ most scenic beaches here!

For another great option just outside the historic center, Agua Hotels Vila Branca is a popular, village-style stay. With bungalow-style rooms, two pools, and a casual atmosphere, it’s nice for longer stays or travelers who like having space to unwind.

Another solid choice in this area is Ancora Park – Sunplace Hotels & Resorts, a low-rise complex made up of small villas near Porto de Mós Beach. It offers a quiet setting, simple amenities, and easy access to coastal walks, making it a good fit for couples or families who want a calm base close to the sea.

Top Activities to do in Lagos

Now that you’ve picked out the best area to stay in, you can start planning your itinerary! From outdoor adventure to historic sights and tasty food experiences, you won’t be bored here. I’ll leave a few of our favorite activities that we did while in Lagos. Just be sure to reserve your spot before you go, so you don’t miss out!

• Go kayaking in the Ponta da Piedade Caves – Experience Portugal’s most dramatic cliffs and caves on this kayak tour! This area is stunning, and getting to paddle through grottos, arches, and turquoise water is a moment to be remembered.

• Explore the city on a tuk tuk – Save your legs and explore Old and New Lagos on this tuk tuk tour! There is so much to see in the city (and it’s very hilly!), so taking a tuk-tuk is the best way to maximize your time. Paired with a local guide, you’ll get the lay of the land in one easy tour!

• Take a catamaran cruise to Ponta da Piedada Caves – If kayaking is a bit ambitious, you can still enjoy the beautiful caves on a relaxing catamaran cruise. The views are unreal, and you’ll be able to hop off and swim, enjoy lunch, and complimentary drinks as you soak in the scenery!

• Spot dolphins – There is even more to see in the sea, and this dolphin watching cruise is the best way to spot marine life! It’s led by a marine biologist, so you learn all about the animals and their natural habitat as you sightsee as well!

• Go on a food tour – Taste your way around Lagos on this top-rated food tour! We love food tours, as you really get to know a city through its food. And in a place like Lagos, with so many amazing tapas bars and local restaurants, you need a guide to find the best of the best!

Related Read: Looking for more activities? Check out our blog on the best things to do in Lagos for our top picks!

Renting a Car in Europe

Exploring Europe by car is a fantastic way to uncover hidden gems—think charming villages, scenic countryside, and off-the-beaten-path spots that trains and buses might miss. Driving here is generally straightforward, but it’s good to be prepared for some regional quirks.

We always use Discover Cars to book our rentals and can’t recommend them enough. It’s super easy to compare prices, check company ratings, find automatic cars (which can be tricky in Europe!), and add affordable full coverage insurance. If you want a full breakdown, check out our Discover Cars review here.

Tips for Renting a Car in Europe

• Know the local rules: Most countries drive on the right, except the UK, Ireland, Cyprus, and Malta. Road signs and driving laws can vary, so do a quick check before you go.
• Practice defensive driving: In parts of Europe, especially in the south, driving can feel fast-paced and a little unpredictable. Make sure you stay alert and keep a safe following distance.
• Insurance is essential: I highly recommend adding full coverage insurance to your rental. Whether it’s a parking lot ding or a chipped windshield on a mountain road, full protection gives you peace of mind. Plus, it’s super affordable through Discover Cars!
• Pick the right vehicle: Most rentals in Europe are manual, and automatic cars are limited, so book early if that’s what you need. A compact car is also ideal for narrow roads and tight parking. On Discover Cars, you can easily filter for everything you need.
• Watch for restricted zones: Many cities have low-emission or restricted traffic zones. Driving into these without a permit can result in fines, so always check local rules if you’re heading into a city center.
• Be prepared for border crossings: While crossing borders is usually easy within the Schengen Zone, some rental companies require you to declare your travel plans in advance. Always check with Discover Cars if you’re planning to drive into another country.

What You Need to Rent a Car in Europe

• A valid driver’s license from your home country.
• If you’re from outside the EU, an International Driving Permit (IDP) is recommended—and in some countries, it’s legally required.
• A credit card in the driver’s name is typically needed for the security deposit.
• Most rental companies require drivers to be at least 21 years old. If you’re under 25, expect a young driver surcharge—and in some countries, the minimum age may be higher.

Ready to hit the road? Book your car with Discover Cars here and discover the freedom of exploring Europe on your own terms!

Thanks for reading!

Lagos is one of those destinations that made me want to come back, even before I left! We loved the ample outdoor and water adventures, historic center, and laid-back vibe. Picking out the best area and right hotel for your travel style is essential, so don’t hesitate to book your favorite option before you go!

If you need help planning the rest of your travels, see all of our Portugal blogs here. We have been all over this country and region, so I’ll leave a few related blog posts from our top areas and activities you don’t want to miss.

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