Pensao Londres

The family-run Pensão Londres offers “old world” charm at budget-friendly prices. Given its hilltop location in the Bairro Alto, the Londres provides some picture-perfect city views.

The pension's 36 rooms are warmly decorated with attractive wooden furniture and frilly curtains. All have high ceilings and large windows, many of which open up to impressive views (especially those on the third and fourth floors). Most rooms are equipped with private baths, although the cheapest accommodations have shared facilities (and have a bidet and sink in the room). Regardless of the configuration, almost all rooms have a TV and are equipped with air conditioning.

Many rooms have small wrought iron balconies, and those on the fourth floor have the most amazing views. Lighter sleepers should ask for a room on the back, although you'll miss out on the great city vistas. (However, even fourth floor rooms on the back have views of the Tejo River.)

Pensão Londres occupies the first four floors of an attractive building with an azueljo-lined entrance. Although there is an elevator, you must walk up 10 steps from the street level to reach it. Security cameras keep watch over the floors and entryway. Plus, the location is pleasant: There are a few cute boutiques in the surrounding buildings and plenty of restaurants and bars down the street.

Free Wi-Fi reaches the first three floors of rooms and a free Internet station is located in the lobby. Breakfast is included in the rate and served in a pretty first-floor dining room.