We just returned and stayed in a bright and very comfortable 2 bedroom on the water in Alfama through VRBO.
Can’t wait to go back
In Lisbon now, so I thought I’d add some info.
BA Wine Bar
We went last night to BA (Bairro Alto) Wine Bar, recommended by Eric (Ifune) and others in a different thread. Absolutely fantastic experience; the proprietor is immensely knowledgeable and eagerly pulls bottles, offers advice, and gives tastes. (We ended up drinking 3 whites, 1 Baga, and 1 Mouchau, the 2002, since Eric had bought the sole 1992). The food–charcuterie and fish they tin themselves–is also fantastic, but you do have to reserve in advance.
Loco
A one star in Estrela. Right now they offer only one menu of 17 “momentos.” The first half, the self-declared appetizers, was very strong: from the lovely fresh chopped oyster in herb sauce preparation to the mini meat pie. Food wobbled a bit in second half, especially as they go back to fish, throwing the wine accompaniment off a bit–we were already on to the red. Somm is great; the staff nice; there is a little bit of self-righteousness, however, about their “no food waste” policy, which somehow accounted for their running out of their much talked up chocolate dessert, before it was our turn to get some. It’s a lovely, small room, and I’d nevertheless go back if I were staying in the area.
1 Mouchau, the 2002, since Eric had bought the sole 1992
Hey, I’m trying to build a vertical. 
As far as hotels, we loved the Corinthia. Not in the older section of town but still very convenient and FWIW, very easy to get to and from airport.
Cheers!
Marshall
No problem, Eric,
You were the one who recommended BA to me in the first place; I’m in your debt.
I will also mention here Belcanto for those travelling to Lisbon. Considered by many the premier “fancy” Lisbon restaurant, it really came through as far as we were concerned. We had the “evolution” menu, which entails a good deal of molecular gastronomy, but it was always to good effect, not just to show off. Along with that, the absolute freshness and purity of the ingredients were remarkable. Best “big shrimp” we had all visit, with head cooked separately in a salt/beetroot shell. Perfectly cooked and delicious squab was the meat course (which we requested) and the cuttlefish chocolate dessert (choco-chocolate, choco being the name for cuttlefish in Portuguese) was a surprise that was mindblowingly successful.
We just returned from a few days in Lisbon and the Douro. Some notes.
We stayed at the LX Boutique Hotel as recommended earlier in the thread. Nice place, very convenient starting point for many walks (all uphill, as the hotel is near the water). Also just a block from the Time Out Market which was a great place to grab something quick in the mornings.
We had dinner the first night upstairs at the Time Out Market at Pap’açorda. The space was nice, food was good not exceptional, very nice by-the-glass wine list with many selections by region. We arrived at 8pm to find the restaurant empty, but were told “sorry we’re fully booked.” Welcome to Portugal, the place was packed when we left at 10:30. We ended up eating at the bar, which is often our preference anyway, but apparently is not commonly done here.
Dinner the next night at Cantinho do Avillez, again on recommendations here. It was a nice small bistro on a tiny street close to our hotel, quite packed and active. Certainly not a Belcanto light, nothing molecular, just well prepared local foods. Very enjoyable.
Later in the week we returned to Lisbon for our last night, and continuing the theme went to Bairro do Avillez. This Chiado eatery is deceptive, as it appears from the street (and when entering) to be a small bistro. However the front tapas area is one of three separate restaurants sharing the space. Back behind the bar the space opens into a second much larger restaurant with a seafood focus. Finally, behind a non-descript door in the back of that space is the third restaurant, Beco, which is a single-seating 12-course speakeasy-styled restaurant with a live performance during dinner. We had a great dinner in the tapas section, and later our bartender took us back into Beco as the show had ended and people were starting to leave. We did have the unexpected pleasure of meeting Jose Avillez who had had dinner with some guests at Beco.
Our first morning we had a walking tour of Alfama and Baixa, with several stops for traditional foods along the way. The small tour group is called Lazy Flavours, I would highly recommend them. I was instantly pleased that our 10am breakfast, at a tiny cafe in Alfama, was a flame-cooked chorizo and vinho verde. Nice start to the week!
We will be in Lisbon for a couple of days in May. A hotel that has been suggested to us is the Hotel Santa Justa. Has anyone stayed there or is anyone familiar with this hotel? Thanks.