Tucked into a cobbled street in Lisbon's Baixa, a late eighteenth-century aristocratic palace — its limestone window surrounds and wrought-iron balconies still crisp against a freshly limewashed facade — was converted into The One Palacio da Anunciada with a brief that asked contemporary Portuguese design to coexist with some of the city's finest surviving rococo plasterwork. The dining room makes this tension vivid: a ceiling of extraordinary richness, all powder-blue clouds, gilded cartouches, and allegorical figures in high relief, floats above wide-plank oak floors and a room furnished with softly upholstered swivel chairs and dark-walnut pedestal tables that carry no historical pretension whatsoever. The restraint is deliberate and, largely, it works. The 63 guest rooms, distributed across five floors, adopt a cooler register — pale ash joinery, deep cobalt wool carpeting, warm-bronze floor lamps, and circular ceramic wall art in muted teal referencing Portuguese tile traditions without reproducing them. Coved ceiling recesses with amber strip lighting replace conventional cornices, giving rooms a quietly contemporary atmosphere that steps back from the palazzo grandeur below. Behind the building, a limestone-paved terrace terrace carries a long lap pool flanked by teak sun loungers and white-canopied day beds, Italian cypress marking the upper retaining wall — a garden addition that brings something genuinely Mediterranean in its ease, set against the hotel's own terracotta-tiled roofline.

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With a privileged location in Lisbon’s most exclusive area, The One Palacio da Anunciada is a new five-star hotel housed in an old 16th-century palace. The majestic establishment preserves the original architecture of the building which contrasts with the modernity of its facilities. Its sophisticated interior design, in neutral tones, breathes elegance and distinction.