The 9 Best Hotels in Albufeira Old Town, Portugal

best hotels in Albufeira
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Albufeira Old Town is full of the traditional Portuguese charm. Cobbled streets weave around decoratively painted buildings, the winding alleys create a perfect maze to explore on foot – it’s no mystery why Albufeira is one of the best holiday destinations in Portugal. So, where are the best hotels in Albufeira Old Town?

Everything revolves around the vibrant green main square – Jardin Publico de Albufeira. Here you’ll find a range of restaurants, boutique shops, and galleries. If you enjoy a spot of people watching, pull up a chair and dine al fresco for the afternoon, soaking up the atmosphere of Albufeira Old Town.

The Old Town’s relaxed vibe attracts families, couples, and groups. There are daily markets, locally crafted souvenirs, and some of the freshest seafood in the Algarve directly from the marina. The famous Albufeira Strip is a short taxi or bus ride away, so you can enjoy a quiet hotel in Albufeira’s Old Town but still have a night or two in the nightclubs.

Whether you’re looking for an adults-only luxury hotel or a family-friendly resort, there is accommodation for every type of traveler in the hotels near Albufeira Old Town. From location to the sea views, we’ve filtered through the hotels near Albufeira Old Town Square to give you a list of the top nine to choose from!

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Vila Sao Vicente Boutique

Vila Sao Vicente Boutique; Best Hotels in Albufeira Old Town
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Stay at the heart of Albufeira at Vila Sao Vicente Boutique, an adults-only luxurious hotel located right on Pescadores Beach. This location is ideal, close to Albufeira Old Town and still with the main beach right on the doorstep. The terrace, pool areas, and some room balconies offer panoramic sea views that will take your breath away.

As a converted 19th-century palace, you can expect a charming and classy hotel. All rooms are attractively decorated, comfortably furnished, and fitted with top-quality amenities. One side of the hotel offers the sea views, while the other side overlooks the historic fishing town.

Each stay includes a daily continental breakfast Vila Sao Vincente’s restaurant has a well-reviewed menu, otherwise Albufeira Old Town center is only a short walk away with several places to choose from. The marina is a 10-minute walk away from the hotel.

Address: Largo Jacinto d’Ayet Nº4, Albufeira Center, 8200-071 Albufeira, Portugal

Best for: Couples after a romantic getaway

Rating: 8.4/10

Hotel Sol e Mar Albufeira

Hotel Sol e Mar Albufeira; Best Hotels in Albufeira Old Town
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Somewhere for the beach lovers – Hotel Sol e Mar Albufeira has Peneco Beach on the doorstep with awe-inspiring views spanning across the ocean. You’ll feel as if you have your very own private beach with the sunbeds and wooden boardwalk extending out from the hotel grounds. This is a 4-star resort featuring two fantastic restaurants and two onsite bars.

All rooms come with private balconies and impressive sea views. They are fully furnished with satellite TV, mini-fridges fully stocked, and private ensuites with included toiletries. There is free parking available outside the hotel and you can organize rentals from the front desk.

This beachfront hotel has an impressive amount of returning guests, a clear display of how fantastic it is. Without a doubt, this is one of the best hotels in Albufeira Old Town.

Address: Rua Bernardino de Sousa, Albufeira Center, 8200-146 Albufeira, Portugal

Best for: Beach lovers wanting to maximize beach time

Rating: 8.7/10

Hotel Baltum

Hotel Baltum; Best Hotels in Albufeira Old Town
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Hotel Baltum is another beachfront gem of a hotel in Albufeira. Old Town restaurants and bars are only a short walk away, and the main town beach is right on the doorstep. So while there isn’t a communal swimming pool, you’ve still got the beautiful Algarve waters to enjoy.

There is an assortment of rooms available from single and twins, to family suites with ocean views. All are fitted with AC, satellite TV, a safe, and a private bathroom. Free wifi is throughout the hotel and there is a rooftop terrace with sun loungers and a jacuzzi for sun worshipers.

Enjoy the indoor air-conditioned restaurant onsite, or head into Albufeira Old Town to sample some more of the delicious Portuguese cuisine. The Strip Albufeira is just over a mile away, so you’re close enough to the vibrant nightlife without being in it at all times.

Address: Avenida 25 De Abril, 26, Albufeira Center, 8200-014 Albufeira, Portugal 

Best for: Anyone who wants to be close to the bars and nightlife

Rating: 7.9/10

Hotel California Urban Beach

Hotel California; Best Hotels in Albufeira Old Town
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If you want to stay somewhere that just oozes ‘trendy stay’, look no further than the Hotel California Urban Beach. This recently refurbished, adults-only 4-star hotel is perfect for two travelers. It’s located in the center of Albufeira Old Town and is only a 2-minute walk away from the Pescadores beach.

All rooms are elegant, and the shared areas luxurious. Plunge into the swimming pool, enjoy a cocktail at the bar, and dine at the fabulous D’lounge Cucina Italiana onsite.

There is also a great array of wellness facilities at the Hotel California Urban Beach. D’Spa follows an organic and vegan concept providing a selection of treatments along with a complete indoor pool water circuit. You can also make use of the outdoor gym throughout your stay here.

Address: Rua Joaquim Pedro Samora, 02, Albufeira Center, 8200-145 Albufeira, Portugal 

Best for: A luxurious stay

Rating: 9.0/10

Vila Recife Hotel

Vila Recife Hotel; Best Hotels in Albufeira Old Town
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Vila Recife Hotel offers traditional Portuguese vibes throughout with its whitewash decor and gorgeous outdoor terrace. There’s a beautiful outdoor pool surrounded by well-maintained gardens. Here guests can lounge on the sunbeds throughout the day, enjoying a local beer from the garden bar to complete the vacation mode.

All rooms are furnished with classic wooden furniture with a refrigerator and private ensuite. Shared areas are clean, bright, and friendly – you’ll want to keep coming back, year after year!

The town beaches and marina are less than a 5-minute walk from Vila Recife Hotel. Other local attractions include the Church of Sant’Ana, Albufeira Old Town Center, and the Old Castle Wall. With an excellent location, you can explore all that Albufeira Old Town has to offer!

Address: Miguel Bombarda, 12, Albufeira Center, 8200-158 Albufeira, Portugal

Best for: Traditional Portuguese vibes

Rating: 7.6/10

Rocamar Exclusive Hotel & Spa

Rocamar Exclusive Hotel & Spa pool view across the ocean
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Located in the center of Albufeira Old Town, Rocamar Exclusive Hotel & Spa is a 4-star adults-only spa hotel. This stylish hotel is ideal for an escape from reality. With a spacious swimming pool, restaurant with a sea view, and a wellness spa, you’ve got everything you need onsite.

Rooms are fashionably decorated and equipped with AC, satellite TV, and private balconies. The spa offers a variety of treatments along with the sauna and steam rooms, jacuzzi, and fitness center. The restaurant serves both international and local dishes.

Albufeira’s Old Town center is a short walk away from Rocamar Exclusive Hotel & Spa. Here you’ll find a whole range of restaurants, bars, and boutique shops You’re guaranteed a relaxing stay!

Address: Largo Jacinto D’ayet 7, Albufeira Center, 8200 – 071 Albufeira, Portugal

Best for: Spa and wellness relaxation

Rating: 8.3/10

Albufeira Beach Hotel

Albufeira Beach Hotel front entrance in Albufeira Old Town
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Albufeira Beach Hotel is located in the center of Albufeira’s historic center and is just a 3-minute walk to Pescadores Beach. This 2-star hotel is charming and simple, yet complete with all the comforts needed for a great stay.

All rooms are spacious and air-conditioned. Either choose to keep to the standard room or upgrade to have balcony access with views overlooking Albufeira Old Town.

In the local area, you’ll find a great selection of restaurants, bars, and clubs – something for everyone! This is a fairly busy district, so not the best choice of hotels for anyone wanting a quieter stay. But if you are after a place to stay that’s good value for money and close to the action, then the Albufeira Beach Hotel is a good place to consider!

Address: Rua Candido Reis 32, Albufeira Center, 8200-103 Albufeira, Portugal

Best for: Travelers on a tighter budget

Rating: 7.6/10

Colina do Mar

Colina do Mar; view across the Old Town
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Colina do Mar is a 3-star hotel perfectly situated in the heart of Albufeira Old Town. This inner-town hotel is surrounded by other historical buildings and is only a 300-meter walk to the beach.

Fancy staying at the hotel all day? No problem. You can soak up the sun terrace and cool off in the rooftop swimming pool with views across the ocean.

All the rooms are comfortable and fitted with modern AC, TVs, and even a bathtub in the ensuites. The area is quiet and peaceful, but shops and restaurants are just a short walk away from Colina do Mar hotel.

Address: Rua Maria Teresa Semedo de Azevedo, 3, Albufeira Center, 8200-155 Albufeira, Portugal

Best for: Panoramic views across both the sea and Albufeira Old Town

Rating: 7.7/10

Apartamentos Edificio Albufeira

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Do you like to stay like a local? Apartamentos Edificio Albufeira could be the place for you! This condo-style hotel is fantastically located on Albufeira’s main beach, and yet still close to all the restaurants and bars.

The serviced apartments all have a fully equipped kitchenette, private bathroom with bathtub, and a panoramic balcony overlooking the ocean. Unfortunately, there isn’t a swimming pool, but with the cooling Atlantic ocean just a stone’s throw away, you can still enjoy a refreshing swim each day.

These apartments are perfect for older couples who perhaps want to stay in Albufeira for an extended vacation. The friendly front desk team can help organize the rental of a car or bicycle so you can explore further afield throughout your stay. This is a fantastic choice and one of the best hotels in Albufeira Old Town.

Address: Av. 25 De Abril, Albufeira Center, 8200 – 014 Albufeira, Portugal

Best for: Self-catering and longer vacations

Rating: 7.6/10

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Hi! I'm Abigail, a surfer, traveller, and nature lover. I'm from the UK but have been able to call Bali home for several years. I've backpacked across Australia on a shoestring budget, explored European coastlines, and taken in the sights across the pond and down into South America. My travel wishlist keeps growing the more I explore our perfect planet!