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Portugal’s Hidden Gem Paradise: Setúbal 

This lesser-known coastal escape located just south of Lisbon offers unspoiled beaches, heaps of epicurean delights and fewer crowds. 

There’s something about Portugal that doesn’t try too hard to impress you. Sun-faded, a little worn, endlessly beguiling, the country quietly invites visitors to lean in closer. From cobblestone streets to sun-drenched beaches and glistening coastal waters, this is a place rich in culture, with a vibrant dining scene, and an effortless seaside allure. It strikes that rare balance between energy and ease, making it all too tempting to linger longer than planned, and securing its place at the top of any travel bucket list. 

While trendy beachside escapes like Comporta and the Algarve continue to draw heaps of crowds, those seeking something more unassuming will be drawn to a locally loved gem just 45 minutes from Lisbon that’s especially appealing – offering all the beauty, without the bustle: Setúbal. 

Quieter and far less bougie than its flashier counterparts, Setúbal is beloved for its maritime heritage, pristine landscapes, unpretentious ambiance, and seafood delights – Choco Frito or fried cuttlefish is a signature dish – as well as its prized fortifiedwine – Moscatel de Setúbal. Nestled alongside the natural wonder that is Arrábida Natural Parkthis unhurried city delivers the understated vibe often missing from Portugal’s more well-trodden tourist hubs. 

Lisbon: A Tapestry of Sights and Flavors 

Begin your adventure with a few nights in the capital. TAP Air Portugal operates direct flights from both Toronto and Montreal straight to Lisbon. Perched on the waterfront in the heart of Lisbon’s historic Praça do Comércio squarePousada de Lisboa is a former government building turned elegant city hideaway. Rooms with Tagus River views, a boutique spa, and refined dining make it the ideal central base for exploring the city. A member of Small Luxury Hotels of the World, it’s also home to Rib Beef & Wine, one of the most sought-after reservations in town. And the property’s serene courtyard with retractable glass dome is the perfect spot for a late afternoon glass of Vinho Verde and where you’ll indulge in their daily breakfast buffet. 

Courtesy of Pousada de Lisboa
Courtesy of Pousada de Lisboa

Step outside the property amid the historic colorful facades and you’re immersed in the heartbeat of Lisbon  café chatter fills the air, trams rattle past, and the city hums. Just around the corner, shops beckon with a trove of local treasures waiting to be discovered, because there’s nothing like coming home with throngs of indigenous finds.  

Home and tabletop jewels are flowing at Uma Cantik and A Vida Portuguesa is the mecca for bath and body goods, ceramicsand gourmand-approved delicacies. Stock up on luxury linens at Parisemlisboa and Teresa Alecrim, and Vista Allegre is the epicenter for fine porcelain. 

Given Lisbon is an epicurean wonderland, you’ll stumble upon foodie-approved restaurants at every turn. Lumi Rooftop at TheLumiares Hotel & Spa is an essential visit. Situated above the lively neighborhood of Bairro Alto – studded with tiny bars spilling out onto the streets, live music, and a come-as-you-are atmosphere – the best views in the city are here. Indulge in cocktails on the breezy terrace and small, sharable plates of modern Portuguese cuisine.  

For a quieter stay just 15 minutes from the city center, Palácio do Governador is a former governor’s residence in Lisbon’s relaxed Belém district and just steps from such landmarks as Belém Tower and Jerónimos Monastery. This is where 17th-century charm meets modern design, and the12,000 sq ft spa alone is worth a visit, with a heated indoor pool and Mediterranean-inspired wellness rituals – a serene retreat between whirlwind days of exploring the city. 

Courtesy of Palácio do Governador
Courtesy of Palácio do Governador

Setúbal: Sun, Seafood, and Serenity 

A coastal city with flavors galore minus the fuss, Setúbal oozes heaps of rough around the edges charm. Set along the Sado River estuary, where it meets the Atlantic Ocean, harbor views, fresh seafood, and easy access to beaches are plentiful. Some of Portugal’s most stunning stretches of coastline are just minutes away, as is Arrábida Natural Park.  

Revered for its jaw-dropping landscapes, this is the kind of Shangri-La that stops you in your tracks. A haven for biodiversity, it’sfilled with Mediterranean flora and wildlife, bucket-list hikes and scenic horseback rides. You’ll also find historic gems like the Arrábida Convent tucked into the greenery, adding to the enchantment. Protected for its raw beauty, it’s an unmissable escape for anyone craving tranquility and seriously unforgettable views. 

Choosing a place to soak in all this majesty is easy – there’s one luxury stay that takes the crown – Hotel Casa Palmela. Imagine that classic shot from a romantic European film – breezing down a sweeping walled driveway as it opens onto a grand courtyard, where a whitewashed manor rests against lush, green hills, vineyards and cork trees. A fairytale moment just like this is exactly what awaits you as you arrive at this 17th-century stately country home.  

Among the rare private properties within Arrábida Natural Park, the former family compound was reimagined as a 21-room fine hotel in 2016. Fortunately, the original majesty remains – classic Portuguese tiles, antique furniture, stone floors, and a quaint little chapel. It doesn’t get more hospitable than this. A visit to Casa Palmela feels like spending an intimate weekend at a close relative’s estate – personal, warm and inviting.  

Courtesy of Hotel Casa Palmela
Courtesy of Hotel Casa Palmela

One member of the family, Salvador Holstein, is still closely involved with the hotel and you won’t find a more passionate Setúbal insider. When it comes to uncovering local favorites and experiencing the region’s gems, there’s no one better. A close second is the team at the on-site Once Upon A Day, destination management company. 

Don’t miss an excursion to São Simão Arte. A traditional Portuguese tile workshop and studio, visitors can learn about the centuries-old techniques involved in cutting, shaping, glazing and painting clay, and even paint their own ceramic piece to bring home. Art forms like these are synonymous with Portugal and Casa Palmela is adorned with its own original creations. They’re not just decorative pieces for walls and floors – these tiles also tell stories, depicting historical events and everyday life.   

Travel is about discovery, and so much of that comes from connecting with the people. For a true sense of place, spend time at Mercado do Livramento. This is where the locals both work and shop, and where you’ll find fishmongers displaying the morning’s catch (including perfectly briny freshly shucked oysters), produce stalls overflowing with seasonal fruits and vegetables, and small vendors selling regional specialties like cheese (Queijo de Azeitão) and crusty breads. Beyond the food, the market itself is an experience, with its early 20th-century architecture and striking blue-and-white tiles. It’s the kind of place that gives you an immediate authentic feel for Setúbal – unfiltered, lively, and deeply rooted in the culture.  

A haven for nature lovers, the region also offers scenic high elevation hikes with sweeping views of the Atlantic coastline, visits to the Sado Estuary Reserve where you may catch the resident dolphins frolicking, and opportunities to learn about local agriculture in this renowned wine-growing area – all worthy additions to your itinerary. 

Whether you enjoy wine or simply want to gain a deeper understanding of the region and its history, plan an afternoon at José Maria da Fonseca, one of Portugal’s oldest and most storied wine producers, founded in 1834 and still family-owned today. 

Located in the unpolished but endearing village of Azeitão, visitors can tour the historic cellars, some of which date back centuries, learn about traditional winemaking methods, and enjoy tastings that highlight the character of the Setúbal Peninsula. Afterwards pop into Casabluma boutique just across the road where there’s an assortment of trinkets for the home, jewelry, and bath and body products by locally crafted Benamôr. 

After a day of spoils, retreat to Casa Palmela where you can bike through the grounds, wander the vineyards, lounge by one of the two pools, unwind with a massage at their cozy wellness pavilion, or indulge in light bites on the outside patio of Zimbral. Breakfast, lunch and dinner are also served here along with a fleet of Portuguese wines. While the menus are seasonal, the fish soup is a knockout as is the lobster rice.  

For freshly caught seabass, prawns cod, and other seafood delights served in a bustling Mediterranean setting, head to A Vela Branca, about a 15-minute ride away. Reserve a table on the terrace overlooking the sparkling Rio Sado – an enchanting finale to a day in paradise.  

Feature image courtesy of Pousada de Lisboa.

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