Carefully laid out, welcoming, and beautifully furnished with natural materials, this charming ground-floor apartment made us feel right at home the minute we walked up to the facade of this typical Lisbon home. However, the design really shines here, and a lot of thought has gone into making the most of the small square footage. The original Pombalino partition wall in the kitchen adds character to the modern interior, creating a tasteful separation that doesn't make the room feel small – meanwhile, the bedroom packs in plenty of built-in storage. The charming outdoor terrace is perfect for an alfresco breakfast or late-night drink. However, when you want to venture beyond its four walls, Graça offers many local spots to explore. Our favourites include celebrating the sunset with a glass at Botequim before heading to dinner at O Pitéu da Graça. Don't let the unassuming exterior fool you – this neighbourhood standout attracts Lisbon's top chefs with its simple regional fare prepared to tried and tested recipes. It's first-come, first-served so arrive early, order a jug of house red and tuck in.

Additional fees

• Child-friendly amenities such as a cot and highchair are available for a supplement of €20

• Arrivals after 10pm are subject to a €40 surcharge payable on the spot in cash

• Your host has a concierge service that can organise a variety of experiences for you including breakfast delivery, Tagus cruise, surf lesson, helicopter flight, wine tours and in-home massage

Additional fees subject to a 3.5% handling charge.