Casco Viejo — Panama City’s UNESCO-listed historic quarter has transformed into Latin America’s most exciting neighborhood. Boutique hotels, world-class restaurants, colonial architecture, and the city’s creative soul in 17 square blocks.
Casco Viejo: A Neighborhood Reborn Without Losing Its Soul
Casco Viejo (also called Casco Antiguo, or simply “the old city”) was founded in 1673 after the original Panama City was destroyed by the English privateer Henry Morgan. For three centuries it was the center of colonial Panamanian life. Then, in the 20th century, as the city expanded westward, Casco Viejo declined into a neighborhood of crumbling colonial mansions and corrugated iron rooftops.
The transformation began in the early 2000s. Architects, restaurateurs, and hoteliers recognized what they had — one of the finest collections of Spanish colonial architecture in the Americas, perched on a peninsula with views of a dramatic modern skyline across the bay — and began the patient work of restoration. Today, Casco Viejo is a UNESCO World Heritage Site and what we consider the most interesting neighborhood to stay in anywhere in Central America.
Architecture: A Walk Through Panama’s History
The Cathedral and Main Plaza
The Cathedral of Panama (Catedral Basílica Santa María la Antigua) anchors the main plaza. Construction began in 1688 and took over 100 years to complete. The towers, unusually, are inlaid with mother-of-pearl from the Pacific — a characteristically Panamanian detail that you will find nowhere else in the world. The plaza itself is the social heart of the neighborhood, filled with vendors, lovers, pigeons, and tourists at all hours.
The French Embassy and the Belle Époque Buildings
Walking the streets of Casco Viejo reveals a remarkable architectural diversity: Spanish colonial, French Belle Époque, neoclassical, and tropical vernacular styles coexist in a few square blocks. The old French Embassy, the Presidential Palace (which faces the bay and has resident herons in its inner courtyard), and the ruins of the Compañía de Jesús are particularly worth seeking out.
The Ruins of the Old City
On the southern tip of the Casco Viejo peninsula, adjacent to the new city, are the ruins of some of the original buildings — preserved but unreconstructed, their walls overgrown with tropical vegetation. Seeing these ruins with the glass towers of the financial district visible just two kilometers away creates one of the most striking visual contrasts you will find anywhere.
Boutique Hotels in Casco Viejo
American Trade Hotel
Our first recommendation for sophisticated travelers. Developed by Nobu Hospitality in a 1917 commercial building, the American Trade has become the social anchor of the revitalized Casco Viejo. 50 rooms with original tiled floors and high ceilings. The lobby bar (called Danilo’s) is a jazz venue with live music several nights a week. The rooftop pool is small but perfectly formed, with views over the colonial rooftops. The restaurant is among the best in the neighborhood. From $220/night.
Casa Sucre Boutique Hotel
17 rooms in a restored colonial house — each room individually decorated with antiques, art, and locally sourced textiles. The rooftop terrace looks toward the bay. Breakfast is served in the internal courtyard. The service is personal in the way that only small hotels can achieve. From $180/night.
Canal House
The newest boutique hotel in Casco Viejo, Canal House occupies a beautifully restored corner building near the main plaza. 12 rooms, each with a different character, all with exceptional attention to detail in the choice of furniture and artwork. The ground floor restaurant is becoming one of the more talked-about tables in the neighborhood. From $200/night.
Restaurants in Casco Viejo: The Best Blocks in Panama
Casco Viejo has become the culinary heart of Panama. Within a ten-minute walk you can eat at Donde José (Panama’s most celebrated tasting menu restaurant), Fonda Lo Que Hay (the most beautiful setting for traditional Panamanian food), Tomillo (Mediterranean influences with Panamanian ingredients), and Donde Nono (the best traditional Panamanian lunch in the city).
For drinks: Tantalo Rooftop is iconic. Café La Olla serves the best coffee in the neighborhood. The Strangers Club (a private members club that accepts hotel guests from the American Trade) is an extraordinary speakeasy-style bar with exceptional cocktails and live music.
Art, Culture, and Shopping in Casco Viejo
The last decade has seen an explosion of galleries, studios, and creative businesses in the neighborhood. The BioMuseo gift shop (technically across the Amador Causeway, but worth the 15-minute walk) sells extraordinary Panamanian design objects. The mola galleries and textile shops in Casco sell work by Guna artisans that is both culturally significant and genuinely beautiful.
✦ The Ideal Casco Viejo Day
Wake at the American Trade Hotel. Breakfast in the courtyard. Walk the streets before the heat builds (before 10 AM, the light on the colonial facades is extraordinary). Visit the Cathedral and the ruins. Lunch at Fonda Lo Que Hay. Afternoon rest. Sundowners at Tantalo Rooftop. Dinner at Donde José. Walk home along the seawall under the stars. This is one of the finest days available to any traveler in Central America.