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Casco Viejo is Panama City’s historic district and it is GORGEOUS!
Oozing with historic charm and colonial history, its cobblestone streets are lined with a rainbow of pastel buildings with a blend of Spanish, French, neoclassic and art nouveau architecture.
The neighbourhood is full of aesthetic cafes, inventive eateries and funky rooftop bars, where you can take in the views towards the modern city and appreciate the contrast of old and new.
We both absolutely adored Casco Viejo, and even after days of wandering around its pretty streets I still couldn’t help but take a million photos and ooh and aah at every corner. It’s truly stunning, and I believe it is the best place to base yourself in Panama City.
So, here is everything you need to know about Casco Viejo, including a history of this charming neighbourhood and where to eat, stay and play.
About Casco Viejo Panama
Casco Viejo, or Casco Antiguo, is Panama City’s ‘old quarter’ or historic district.
This is kind of confusing, as it’s not the oldest version of Panama City.
Casco Viejo was the second iteration of the city after the original city, Panama Viejo, was burned and pillaged by pirate Captain Henry Morgan and his gang in 1671!
They decided to relocate the city to a peninsula south of the original city, for better access to fresh water from Cerro Ancon (Ancon Hill) and because the area could be fortified, to protect against future invasions.
Casco Viejo thrived for a few years, and the stunning architecture is a testament to that. It suffered a few fires in the 18th century and was rebuilt and slightly modified, with new styles of architecture blending with the original Spanish design.
Eventually, as the city grew, the wealthy families who populated the area moved to modern-day Panama City, and Casco Viejo was left to fall into disrepair. For many years, this area of the city was considered very dangerous, and gangs and squatters overtook the dilapidated buildings.
In the 1990s, the Panamanian Government started offering incentives to anyone willing to buy and restore the historic buildings in the neighbourhood. This started a process of gentrification, and the former glory of the historic district started to shine again.
Casco Viejo, along with Panama Viejo, were declared a UNESCO World Heritage Site in 1997. You can still visit the ruins of Panama Viejo, but it’s not much more than some crumbling buildings.
Casco Viejo on the other hand is a thriving piece of preserved history. The neighbourhood is the ‘it’ place in Panama City, with restored historic buildings filled with charming boutique hotels, aesthetic cafes, trendy eateries and funky rooftop bars.
The gentrification of Casco Viejo
When Casco Viejo was eventually abandoned in favour of modern-day Panama City, it was left to rot and sadly turned into a slum filled with gangs and violence.
Casco Viejo housed the poorest residents of the city and was a dangerous place for tourists and a no-go zone for locals from other parts of Panama City.
On the one hand, the restoration of the neighbourhood is positive, as Casco Viejo is too beautiful and historically important to neglect!
However, the gentrification of the area has forced the city’s poorest and most disadvantaged residents out of their homes, which has, rightfully so, caused animosity from locals towards the developers and tourists.
There’s no doubt Casco Viejo is a much nicer place to be these days, and the gorgeous architecture and buildings steeped in history have been lovingly repaired. Businesses like hotels, some of the city’s best cafes, restaurants and bars, and local galleries and boutiques have filled the buildings.
But what about the residents? The ‘new’ Casco Viejo has been designed with tourists and wealthy Panamanians in mind, and the locals who grew up in this neighbourhood have been entirely priced out. This is true of most gentrification stories around the world.
The areas surrounding Casco Viejo like Santa Ana and El Chorrillo continue to be run down, full of dilapidated buildings, crime and the city’s lowest socioeconomic status.
The perimeter of Casco Viejo isn’t necessarily marked, but you’ll quickly realise when you cross it. From one street to the next, things change very quickly and you need to be conscious of where you’re wandering as you reach the outer limits of the district.
I think it’s important to not simply discard these areas as unsafe slums, and instead take some time to understand both sides of the story, and the impact that the gentrification of Casco Viejo has had on the locals. There’s a fantastic walking tour you can take through El Chorrillo with a local, to get some insight on the issue, which I’ll mention below.
Safety in Casco Viejo
There are tourist police all over Casco Viejo and we didn’t have any problems during our time here. You don’t need to be on edge or concerned throughout your stay, just be aware.
During the day you can safely and enjoyably walk around the district with no concerns. At night, there are a few pockets of the area that aren’t well-lit, and there are still some abandoned buildings with squatters living in them.
We walked home from dinner and bars each night and we were safe, although we were always together as a couple. We stuck to the bigger streets that were well-lit and busy with people and were completely fine.
If in doubt, take an Uber at night. They’re cheap and readily available and can put your mind at ease.
We did notice on a few occasions how quickly we felt on edge as we unwittingly crossed out of the neighbourhood. One minute we’d be in a charming cobblestone street with beautiful buildings taking photos, and the next we’d look around and realise we were surrounded by crumbling, empty buildings with no signs of life.
To be on the safe side, you should avoid Santa Ana and El Chorrillo, especially at night.
My advice is to enjoy yourself and not be on edge, just be very aware of your location and keep an eye on your surroundings as you edge closer to the boundary of Casco Viejo (please excuse my very rough drawing!).
Things to do in Casco Viejo
Walking tours
The first thing you should plan to do in Casco Viejo is a walking tour. It’s the best way to get the lay of the land in the neighbourhood and learn about the history and culture from a local guide.
This shouldn’t be your only walk around the neighbourhood (trust me, you’ll want to walk these gorgeous streets multiple times!), but it will give you some valuable context and background to the area.
Some options for walking tours:
- Walking Tour Through the Hidden Treasures and Gems of Casco Viejo
- Legends of Casco Viejo Tour: Uncover Hidden Gems
- GuruWalk Old Town Panama Free & Fun Tour (tip required)
In addition to the standard, historical walking tours, I HIGHLY recommend joining an alternative walking tour in the surrounding neighbourhood of El Chorillo.
You may recall I mentioned this above as one of the most dangerous areas of the city. While this is true, there is a lot more going on in this neighbourhood than meets the eye. Taking a walking tour with a local who is passionate about sharing the other side of his city is a safe way to dig a little deeper and hear the other side of the story when it comes to the gentrification of Casco Viejo.
Sightseeing in Casco Viejo
The best thing to do in Casco Viejo is to get lost and wander aimlessly. The architecture and historic buildings are just gorgeous, whether they’re notable sites or not. There is street art, charming cobblestone alleys, pastel buildings of all shapes and sizes and glimpses of the modern city through the historic district.
In saying that, there are a few specific buildings and attractions you should plan to wander past. Your walking tour will most likely cover some, but not all, of them, but if you’re anything like me, you might want to return for a second visit on your own schedule with a camera in hand.
I’ve tried to list them in a logical order, starting from the main plaza and completing an anti-clockwise kind of route around the neighbourhood. These sights are all pinned in my Panama Google Map.
- Plaza Independencia: this is Casco Viejo’s main plaza and it’s buzzing with life. As with most colonial plazas, it is flanked on one side by the cathedral and government buildings on the other. There are always street vendors, market stalls and plenty of people-watching opportunities here.
- Catedral Metropolitana: formally known as the Catedral Basílica Metropolitana Santa María La Antigua (say that really fast!) this is one of the most important cathedrals in the city. You’re allowed to go inside, and its interior is just as stunning as the exterior.
- Palacio Municipal: pretty in pink, the Municipal Palace is a fairyfloss-coloured building near the plaza, that houses the Museum of the History of Panama. We were happy looking from the outside, but the small museum is free if you’re interested.
- Panama Canal Museum: I’m sure a visit to one of the locks in the canal is on your Panama City bucket list, but the best place to learn about the history and construction of the canal is actually at this excellent museum in Casco Viejo. Open Tuesday – Saturday and tickets are $15 for foreign adults.
- Arco Chato: part of the Convento de Santo Domingo, this half-standing arch is one of the older, more ruined buildings in Casco Viejo. It’s still mostly intact after some restoration, but the original arch survived multiple earthquakes!
- La Calle de los Sombreros: a relatively new entrant to Casco Viejo, drawing from popular counterparts around the region, the ‘Hat Street’ is a street strung with decorative Panama hats. It wasn’t there when we visited, but it looks like a great photo stop!
- Plaza de Francia: France Square features a memorial and monument to the French workers who died in the construction of the original Panama Canal.
- Paseo de Las Bóvedas: the original outer wall of Casco Viejo where it meets the sea, that was used as a defence against pirates. Today it’s a lovely promenade with views of the sea and the present-day CBD.
- Paseo Esteban Huertas: Las Bóvedas runs into the Paseo Estaban Huertas which offers an incredible vista of the modern city and a very cute arched walkway covered in bougainvillea flowers. There are often Guna women set up here selling molas, and there are colourful street murals.
- Plazoleta Medio Baluarte: we came across this very cute little plaza by chance. It has lovely ocean views and you can get a good sneak peak at the fancy Sofitel Hotel.
- Teatro Nacional: a beautifully restored theatre with stunning frescoes on its interior roof, and beautiful columns and tilework outside. There are frequent shows here if you want to see the inside.
- Iglesia de San Francisco de Asís: we hadn’t read anything about this church and stumbled across it, but it is one of the prettiest in the neighbourhood! We weren’t able to go inside, but you should try to. I hear the stained glass windows cast a blue glow over everything.
- Plaza Simon Bolivar: this plaza felt quite different to the others in Casco Viejo, with cafe and restaurant seating bursting into its centre, with lots of lovely trees.
- Palacio de Las Garzas: we ended up walking into a street that was all cordoned off, with lots of security. We had no idea what was going on, but later realised we were near the Palacio de Las Garzas, which is the current presidential house! So I guess this is a recommendation for something you won’t see!
- Iglesia de la Merced: this church is quite small and restrained compared to some of the others in the area. It has a similar exterior style to the Metropolitan Cathedral, with central stonework and white bell towers.
- Plaza Herrera: this was my favourite plaza. It’s bordered by the grand American Trade Hotel on one side and a string of fantastic cafes and restaurants on the other. There is a central statue of Tomas Herrera, surrounded by shady trees that happened to be flowering during our visit.
- Antigua Murralla – Baluarte Mano de Tigre: right next to Plaza Herrera this is the ruins of the old city wall, with gates that used to be closed in the evenings to keep its inhabitants safe. It’s not much more than a pile of stones now but it’s interesting to see the history.
- Iglesia de San Jose: this church has a very interesting history. It originally stood in Panama Viejo, the first version of the city before it was ruined. When the monks knew Captain Morgan was on his way to pillage the city, they painted the grand gold altar black so it wouldn’t be stolen. The church was relocated (stone by stone!) to Casco Viejo, and the altar de oro (gold altar) was restored to its full glory.
- Museo de Mola: the Mola Museum is a fascinating look into the iconic mola made by the Indigenous Guna women. If you’re visiting the San Blas Islands, you’ll see molas being made and worn, but the museum showcases the history and method of the molas. It’s free and visitors get a 45-minute entry period.
Where to eat and drink in Casco Viejo
This is by NO means an exhaustive list and I had to make some tough decisions to keep it to a manageable size!
There are dozens and dozens of fantastic eateries all over Casco Viejo, I don’t think you can go too far wrong with anywhere you choose, but these places were some of our favourites. I’ve pinned all these options and the others I didn’t end up including here on my Panama map.
CAFES ☕️
- Café Unido: a local Panamanian cafe chain, but don’t be put off by that. They use the best local beans, expert baristas and have aesthetically pleasing cafes.
- ⭐️ Sisu: coffee is serious business here. Owned and operated by the Lamastus Family Estates, who have coffee fincas in Boquete, it’s one of the best places in the city to try the prized Geisha coffee.
- Mahalo: more than just coffee, Mahalo is a gorgeous breakfast spot in a leafy garden. They have fresh and healthy breaky dishes like loaded toasts, bowls and local specialties.
SWEET TREATS 🍦
- ⭐️ Gelarti: we had heard Granclement was the place to go for ice cream in Casco Viejo, but they were closed during our visit so we tried Gelarti. DELIGHTFUl! I think I had an ice cream from here every day. Try both places!
- i Love Panama Chocolate: Panama produces some tasty chocolate and this is a fantastic place to try it. They usually offer short demonstrations and tastings too.
- Raspados: if you see a small cart being pushed around the neighbourhood – investigate! It will most likely be a vendor selling the local treat raspado, like a snow cone or shaved ice. It’s the perfect refresher in the steamy Panama City heat! Vendors are usually in the plazas or around the Paseo de Las Bóvedas.
LOCAL RESTAURANTS 🍛
- Coca Cola Café: this is heralded as the first coffee shop in Panama and walking in feels like you’ve stepped into a time machine. With a dimly lit shop filled with vintage decor and old Coca-Cola memorabilia. We found it a bit overpriced and the serving sizes small, but it is an experience I think you should have. Good for breakfast or lunch, don’t forget a side of hojaldres, a tasty Panamanian fry bread.
- En La Fonda: a famous Panamanian restaurant serving up all the local classics. This restaurant is more than just a restaurant though, it’s decorated with traditional Panamanian decor from all over the country, staff are dressed in traditional dress and they have a live show each night with singing and dancing. It is a bit touristy, but they pull it off in a very non-tacky way, and locals seem to love it just as much as tourists.
- ⭐️ Fonda Lo Que Hay: if you have one nice restaurant experience in Casco Viejo, make it Lo Que Hay. Run by world-renowned local chef Jose Olmedo Carles, he puts a modern twist on traditional Panamanian dishes. It’s a menu designed for sharing in a funky space with inventive cocktails. It’s quality food, in a very laidback setting designed to imitate the typical ‘fonda’ style restaurant.
INTERNATIONAL RESTAURANTS 🍕
A lot of the rooftop bars have international food too so you can have a meal with your drinks and view! I won’t mention them twice but don’t discount them when planning your lunches/dinners.
- Madre Pizza: a great Italian restaurant with tasty, sourdough pizzas. We had a very lovely evening here sitting in their outdoor seating in Plaza Herrera, which was all lit up with candles and lights, it’s a very romantic setting.
- La Pulperia: this exceptionally rated restaurant serves excellent seafood and other share-style tapas dishes, fusing lots of different cuisines. Great quality and good service but not too pricey.
- ⭐️ Restaurante Santa Rita: an incredibly well-rated Spanish tapas restaurant, frequently crowned the best restaurant in all of Casco Viejo. We couldn’t get a booking during our visit, but please let me know how it is if you go!
ROOFTOP BARS 🍹
- ⭐️ Selina: the rooftop of the famous hostel chain has uninterrupted views of the CBD skyline! It was very casual and not too expensive, they usually have rotating drinks specials too. There is a Mexican restaurant up there too, Tacos La Neta which was pretty good.
- Tantalo: this is a fabulous rooftop bar and restaurant and you should definitely visit in the evening for a sunset drink. They also have great lunch specials with a free (non-alcoholic) drink! Check what their deal of the day is and ask if you can sit on their rooftop, even though it’s not usually open during the day.
- CasaCasco: a mega-venue right in the heart of Casco Viejo with a different restaurant on each level. Head straight to the rooftop for a drink and prime sunset scenes.
Honourable mentions! We loved the rooftops so much in Casco Viejo that I couldn’t restrict the list to just three! Also check out:
- Sama Sky Lounge
- Lazotea
- Vista Corona
BARS & BREWERIES (NON-ROOFTOP) 🍻
- La Rana Dorada: a great brewery with some tasty craft beers on tap and bar food like pizzas, burgers, wings etc.
- ⭐️ Pedro Mandiga Rum Bar: Panama is famous for its rum, and this classic, old-school rum bar is the best place to indulge in some rum-based cocktails. Think wood panelling, plush leather booths and skilled bartenders.
- The Club @ American Trade Hotel: nothing says class and sophistication like the American Trade Hotel. They’ve got a speakeasy-style jazz bar, The Club, open to non-guests. Check their website for upcoming events.
SELF-CATERING 🧺
- ⭐️ Felipe Motta Deli & Wine Store: one of our favourite evenings in Casco Viejo was having a picnic on the Cinta Costera watching the city light up. This is the best place to grab a bottle of wine (don’t openly drink in public, bring a reusable coffee cup or the like) and some deli goods.
- Grand Deli Gourmet: they had a lot of nice bread and baguettes to compliment our picnic.
- Super Rey: Rey is the biggest chain supermarket in the city. Their store in Casco Viejo is not very big, but if you need some basic groceries, you’ll find them here.
Where to stay in Casco Viejo
When choosing where to stay in Casco Viejo, be very clear on the boundaries of the neighbourhood and where Casco Viejo ends, and Santa Ana or El Chorrillo starts.
Santa Ana in particular has an abundance of beautiful Airbnbs and many tourists do (safely) stay here, but you need to be fully aware of the area and its drawbacks so you can make an informed decision.
My recommendations below are for hotels and hostels all in the central Casco Viejo area. Accommodation here is much more expensive than anywhere else in Panama so it’s a hit for your budget, but considering most hotels are in charming restored mansions, it’s mostly justified!
AmazINN Places is a hospitality brand in Panama City. They’ve got a collection of restored mansions that are now boutique hotels or apartment rentals. You’ll see them mentioned a lot when browsing for accommodations online, and we stayed in one of their buildings. Some of the listings are individual apartments, while others are the entire building with multiple rooms available, just be sure you understand exactly what you’re booking.
BUDGET 💰
- Magnolia Inn Casco Viejo: if you still want the experience of staying in a restored colonial mansion but you’re on a budget, never fear! Magnolia Inn has the same heritage grandeur, with the offer of dorm beds and affordable private rooms.
- Selina Casco Viejo: this is not the best Selina property, it’s noisy due to the public rooftop bar and the reviews indicate that the entire hostel needs a deep clean. However, I still think it’s worth considering as it is one of the few affordable options actually located in Casco Viejo and it still has the same standards and security of the Selina brand (the surrounding areas are quite sketchy). Plus the rooftop is absolutely incredible!
- Oasis Hotel: this is a hotel, not a hostel, and it’s not dirt cheap, but if you’re a couple on a budget and you want to stay in the heart of Casco Viejo, it’s a good option. The décor is a bit old and rundown, but the rooms are huge and have kitchenettes, some even have balconies overlooking the bay. It’s a bit noisy with a public rooftop bar, but for the location, size and amenities, it’s great value.
- Hotel Baluarte Boutique: another hotel option that isn’t suitable for extreme budget travellers, but depending on the time of year, this hotel can be excellent value for money without sacrificing location or amenities. It’s a modern, clean and lush property with breakfast included and friendly staff.
MID-RANGE 💰💰
- Casa Arias (AmazINN Places): this is where we stayed and loved it! We were initially hesitant that the rooms only had internal courtyard windows and seemed a bit dark, but this turned out to be a blessing in disguise as Casco Viejo can be quite noisy at night and we didn’t hear a thing!
The rooftop was stunning and well furnished with tables, chairs and lounges, and we regularly used that for our fill of fresh air and amazing views. The pool was great to cool off after a steamy day of walking around the city. Our room was spacious and very well-equipped, we couldn’t believe we had our own private kitchen (as well as a small communal kitchen near the pool). Highly recommend it on all fronts, excellent value for money and a perfect location!
- Casa Marichu (AmazINN Places): a stunning building with modern, recently renovated rooms that are light, bright and airy. Every room has kitchenette facilities and there is an amazing rooftop pool overlooking Casco Viejo.
- Las Clementinas: this is a stunning hotel in a beautiful historic mansion, with modern touches. The rooms are very spacious and airy, with higher categories offering kitchens and living areas. There’s a lovely communal courtyard and the excellent Mahalo café is attached.
- Casa Lourdes By Acomodo Casco Viejo: a near-new building with bright and modern apartments. There is a touch to the history of the area, but amenities are sleek and new. The building has a shared rooftop jacuzzi and is centrally located.
HIGH-END 💰💰💰
- Amarla Boutique Hotel: Amarla has taken a more relaxed approach to the heritage styling and décor. They’ve maintained the history of their beautiful building but incorporated an earthy, relaxed tropical feel throughout. The hotel has a beautiful and expansive rooftop with a jacuzzi and excellent city views, breakfast is included daily and the staff go above and beyond.
- American Trade Hotel: a Casco Viejo institution, it doesn’t get more sophisticated and classic than this. One of the tallest buildings in the neighbourhood, it has been restored to its former glory, once housing the headquarters for the American Trade Developing Company. Featuring a rooftop patio with a pool, a restaurant, multiple cafés and a moody jazz bar.
- La Concordia Boutique Hotel: oozing with historic charm, La Concordia is emblematic of a true boutique hotel. Chandeliers, clawfoot bathtubs, geometric tiles, no detail has been forgotten. The rooms are spacious with luxurious amenities and balconies.
- Central Hotel: we walked past this hotel every day, and greeted their friendly doormen. The building is the height of colonial grandeur, think Agatha Christie vibes. The historic charm continues inside, however, the rooms are quite plain considering.
I usually avoid chain hotels as I prefer to promote locally operated hotels where possible, but it would be remiss of me not to mention two of the most beautiful hotels in Casco Viejo. You decide if you’re okay with the ethics of international chain hotels:
Other things to do in Panama City
I think Casco Viejo is the best place to base yourself in Panama City, however, there are plenty of other sights to see in and around Panama City.
Check out my 5-day Panama City itinerary for the best way to combine a stay in Casco Viejo with other attractions like the Panama Canal, the modern-day city and the awesome Cinta Costera coastal pathway.
The itinerary also includes broader information about travelling to Panama City, like how to get there and around, phone and currency matters and other handy travel tips.
🏙️ Read my 5-day Panama City itinerary
Casco Viejo Panama: Final thoughts
Casco Viejo takes the prize for my favourite colonial town in Central America.
It’s in close competition with the beautiful city of Antigua in Guatemala and Granada in Nicaragua, but there was just something about the seaside location, incredible dining scene and contrast between old and new that won me over in Casco Viejo.
It’s truly the best place to be in Panama City and if you have any doubts about whether you should stay in this neighbourhood and spend most of your time here – DO IT!
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