Cheap hotels in Graca, Alfama, & Castelo, Lisbon
To the East of Baixa, Alfama, Lisbon's castle district, sits perched above the Baixa. The Castelo de São Jorge is its crowning glory. The castle, crumbling in places, affords magnificent views of the river and the old city.
Having survived the earthquake of 1755, the district is charmingly chaotic, with commercial pockets of restaurants and shops, hillside alleyways, little parks, and broad views over the river. Tremendous views can be glimpsed in between the steep streets sloping down toward the river. The winding, cramped alleys toward the base of the Alfama are especially enticing.