The Algarve is a beautiful coastal region on the southern edge of Portugal, roughly a three-hour drive from Lisbon. Featuring ample picturesque beaches and charming villages, it is the perfect place for tranquil retreats and getaways. In this article, we have handpicked the 8 best boutique hotels in the Algarve with gorgeous personalities and unmatched comfort.
- Companhia das Culturas
- Casa Modesta
- Hospedaria
- Casa Mãe
- THE MODERNIST
- Pensão Agrícola
- Casa Brava
- Casa Três
Companhia das Culturas
Companhia das Culturas is one of our favourite boutique hotels in the Algarve. Located in Castro Marim, it occupies 40 hectares of lush estate with beautiful gardens and trees. After years of restoration and expansion, the property is lovingly transformed into a charming farm stay.
The hotel offers 10 unique accommodations, including six guest rooms and four apartments. They are each crafted individually with whitewashed walls, concrete floors, and eclectic furnishing, which give off a rustic homey charm. The apartments also feature a kitchenette and a private patio.
The hotel features a plethora of wellness facilities on-site. During your stay, you will have access to two outdoor swimming pools, a unique marble hammam, a spa room, and a cork yoga studio. There are also plenty of outdoor and garden spaces to hang around. For meals and drinks, the in-house Bistro specializes in Southern Portuguese cuisine with a Mediterranean flair.
Casa Modesta
Casa Modesta is one of the best architectural boutique hotels in the Algarve, nestled in the Ria Formosa Nature Park. Surrounded by acres of orchards and green lands, the hotel alongside local studio PAr reimagined a whitewashed family house from the 1940s. The new design is a sleek contemporary take on local vernacular architecture, with a heavy emphasis on clean lines.
The hotel now offers 9 light-filled guest suites. Echoing its facade, they are all designed with a minimalistic white design, highlighted by LACECAL cedar furniture, traditional terracotta tiles, brass touches, and curated objects. They each come with a private patio or terrace as well.
In addition, the hotel features an outdoor swimming pool, a vegetable garden, and a communal kitchen. During your stay, make sure you also check out the breathtaking coastal lagoons at Ria Formosa, which is regarded as one of the ‘Seven Wonders of Portugal’.
Hospedaria
Hospedaria is one of the best rural boutique hotels in the eastern Algarve. Tucked away near the town of Tavira, it revived a white-washed post office from 1917. In collaboration with renowned architectural studio Atelier RUA, the hotel brings a chic contemporary charm to the property.
The 5 guest rooms are minimalistic but sophisticated. They all feature a white and neutral palette, accented by exposed concrete ceilings and a mix of modern and antique furniture. You will also find amenities such as a private outdoor patio, Nova Saboaria toiletries, and free wifi.
A notable highlight of the hotel is its outdoor plunge pool with loungers, perfect for unwinding. The old tavern has also been transformed into a bar that serves different drinks and light bites. Besides, the hotel can help you arrange unique experiences such as horse riding and tuk-tuk tours.
Casa Mãe
Casa Mãe is a charming boutique hotel in the Algarve. Located in the historic village of Lagos, the 5-star hotel is housed inside a 19th-century estate near the waterfront. It now presents a cozy boho aesthetic with artisanal objects and greeneries weaving across the space.
The 34 accommodations are spread across 4 buildings, each with a different atmosphere. For instance, the rooms in Jogo Da Bola feature a minimalistic contemporary design with oak furniture and handmade terracotta tiles. No matter which room you go for, you will find detailed touches like organic Cocomat bedding, Oliofora skincare products, and design pieces by local artisans.
The spa is another standout, featuring multiple wellness facilities including an 11-meter outdoor pool, a solarium, a wooden sauna, a steam room, and hydrotherapy showers. Culinary is not to be ignored. At ORTA Restaurant, you will discover a variety of dishes cooked from fresh local produce.
THE MODERNIST
THE MODERNIST is a distinct boutique hotel made for architecture lovers. Situated in the heart of Faro, it occupies a clean Portuguese modernist building constructed by Joel Santana in the early 70s. Inspired by its facade, the interior design stays true to a Mid-Century modern aesthetic.
The hotel offers just 6 apartment-style accommodations. Revolving around a white, reddish brown, and sage palette, they are each crafted meticulously with artisanal wooden furniture, brass fittings, and green marble accents. They each also come with a kitchenette and a private balcony.
In addition, you will have access to the scenic rooftop with an outdoor shower and a unique framed garden with seating spaces. There are no restaurants on-site, but you will find plenty of dining options in Faro. Our favourite includes Restaurante Alameda, which specializes in modern cuisine.
Pensão Agrícola
Pensão Agrícola is a rural boutique hotel in Algarve. Situated near the fishing village of Cacela Velha and Tavira, it restored a small family farmhouse from the 1920s. Led by Atelier RUA, the historic facade has been thoughtfully touched up, while the interior is refurbished with a chic rustic charm.
The 6 minimalistic guest rooms are each designed individually, with 3 in the original farmhouse and 3 in the contemporary new build. They are each outfitted with curated vintage decor, local artwork, and smooth concrete floors. You will also have a private patio, comfy bedding, and free wifi.
Like most hotels in the Algarve, it features a heated outdoor plunge pool alongside a sunbathing area with daybeds. During your stay, you will also receive complimentary breakfasts made from fresh local ingredients. The hotel is the perfect base camp for exploring the Algarve’s countryside.
Casa Brava
Casa Brava is a rustic boutique hotel in the Algarve. Perched at the foothills north of Loulé, it occupies three gorgeous stone cottages from the mid-19th century. Despite the renovation, the interior still features ample historic elements such as the wooden beams and exposed stone walls.
The 3 guest suites all come in different configurations. Their design largely centers around a simplistic white and sandy palette, complemented by homey furnishing. You will also find well-appointed amenities including a private terrace and garden, a kitchenette, a TV, free wifi, and more.
The hotel provided ample outdoor spaces, including a natural rock pool, a rooftop terrace, and plenty of seating spaces throughout. You will also get free organic breakfasts during your stay. Feel free to check out the hiking trails nearby as well, which are accessible directly from the property.
Casa Três
Casa Três is an intimate boutique guest house in Algarve. It is quietly tucked away in Vila Real de Santo António, a coastal village on the eastern edge of Portugal. Near the heart of the town, local hotel brand The Addresses turns a former merchant’s house into a tranquil retreat destination.
The house can accommodate up to six guests with three bedrooms and bathrooms. The space is ambient and light-filled, featuring tasteful modern furnishing by Studio Stories. From the marble tables to the terrazzo staircase and lacquered wooden panels, everything is styled meticulously.
Walking outside the living area, you will discover an idyllic outdoor plunge pool alongside a courtyard with daybeds, chairs, and a long dining table. For meals, the fully-equipped kitchen comes with all the appliances you need, including a fridge, induction hob, dishwasher, oven, and microwave.
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