Palácio Ramalhete has the soul of a historic property—Manuel II, Portugal’s last king, and Britain’s Duke of Windsor were once guests—without any of the attendant stuffiness. Set in an 18th-century palace on the handsome Rua das Janelas Verdes, each of the 16 accommodations has its own unique character. The Oak Suite, for instance, features wood wall paneling with an ornate carved-stucco ceiling, while the spacious Dove Room, which occupies the palace’s former chapel, is lined with original hand-painted blue-and-white azulejos (ceramic tiles).
There are three tiered internal courtyards; the highest has a small heated outdoor pool with a massive palm tree for shade and River Tagus views in the distance. Art lovers, take note: Opposite the hotel is the National Museum of Ancient Art, filled with important Portuguese works that include 15th-century painter Nuno Gonçalves’s famous Panels of St. Vincent.