Where to Stay in Panama City

Where to Stay in Panama City, Panama: My Complete Neighborhood Guide

Choosing where to stay in Panama City can shape your entire experience. Our capital is full of contrasts—historic streets, modern skyscrapers, waterfront paths, leafy neighborhoods, lively nightlife, and quiet residential pockets. Each area has its own rhythm and personality. That’s why I always tell visitors that choosing the right neighborhood is just as important as choosing the right hotel.

In this guide, I’ll help you understand the different parts of Panama City and what each one offers. These are the neighborhoods I know well, the places I’ve walked through on sunny mornings and warm evenings, and the areas where I’ve shared meals, met friends, and watched the city evolve. Whether you’re looking for charm, comfort, luxury, or convenience, Panama City has a place that will feel just right.

Understanding the Layout of Panama City

Panama City stretches along the Pacific coast, with the Cinta Costera running along the waterfront and major roads connecting neighborhoods from the old town to the modern financial district. The city is easy to navigate once you understand its flow. Most of the popular areas for visitors sit along the waterfront or just inland, where dining, shopping, and transportation are convenient.

From the historic streets of Casco Viejo to the tall towers of Punta Pacifica, the city moves smoothly between old and new. Your choice of neighborhood will depend on what kind of experience you want—quiet mornings, lively nights, cultural history, ocean views, or modern comfort.

Casco Viejo: Historic Charm and Boutique Stays

Whenever someone asks me where to stay for character and atmosphere, I always mention Casco Viejo. This is the historic district, full of colonial-era buildings, balconies spilling with flowers, narrow cobblestone streets, and lively plazas. Staying here feels like living inside the city’s story.

Why Stay Here

Casco offers romance, history, and culture. You can walk to churches, plazas, museums, cafés, rooftop bars, and iconic landmarks. The district comes alive at night with restaurants and music. It’s one of the most beautiful and walkable neighborhoods in Panama City.

What You’ll Find

Casco has boutique hotels, restored colonial buildings, luxury stays, and small guesthouses. Many properties offer rooftop terraces with views of the water and the skyline. If you love atmosphere and architecture, this is your place.

Who It’s Best For

Casco is perfect for travelers who enjoy slow walks, good food, and cultural experiences. It works well for couples, solo travelers, and anyone who wants something unique.

Avenida Balboa: Waterfront Views and Central Convenience

Avenida Balboa runs along the bay with some of the best ocean views in the city. If you want to wake up to the sight of the Pacific stretching out below you, stay here. The road connects easily to major neighborhoods, making it a convenient base.

Why Stay Here

The Cinta Costera, a long coastal path, runs along Avenida Balboa. You can walk, run, or bike here while enjoying the view of the water and the skyline. Many hotels along the avenue offer stunning views, pools, gyms, and modern amenities.

What You’ll Find

You’ll find high-rise hotels, comfortable rooms, and easy access to taxis, shopping centers, and restaurants. The area feels clean, organized, and modern.

Who It’s Best For

Avenida Balboa is ideal for visitors who want ocean views, central access, and a quiet but convenient stay. It works well for families and business travelers too.

Punta Pacifica: Modern Luxury and High-Rise Comfort

Punta Pacifica feels sleek and upscale. It’s full of tall towers, luxury residences, and high-end hotels. The area sits along the water, with wide streets and a polished atmosphere.

Why Stay Here

It’s modern, safe, and comfortable. Many luxury hotels sit in this area, offering spa services, ocean-view pools, and elegant rooms. There’s also a major hospital and an upscale shopping center nearby.

What You’ll Find

Punta Pacifica offers some of the city’s most luxurious stays. The neighborhood feels clean and quiet, with easy access to major roads and the waterfront.

Who It’s Best For

This area is perfect for travelers who want a smooth, modern experience. Business travelers, couples, and anyone looking for comfort tend to love this neighborhood.

El Cangrejo: Walkable Streets and Local Flavor

Whenever I’m in the mood for long walks and cafés, I head to El Cangrejo. This neighborhood has tree-lined streets, restaurants from all over the world, and a relaxed, friendly spirit. It feels lived-in and welcoming, with a mix of hotels, apartments, bakeries, and parks.

Why Stay Here

El Cangrejo is very walkable. You can stroll from your hotel to restaurants, shops, parks, and small plazas. Dining options are excellent, with everything from traditional Panamanian food to international cuisine.

What You’ll Find

Mid-range hotels, boutique stays, and comfortable options. Many properties feel cozy and personal rather than grand or formal.

Who It’s Best For

El Cangrejo is great for travelers who want convenience, charm, and a local feel. It’s also a good choice for long stays.

Bella Vista: A Mix of Modern and Classic

Bella Vista sits between the waterfront and the heart of the city. It’s an interesting blend of old houses, modern buildings, offices, cafés, and residential streets. The area isn’t as historic as Casco or as modern as Punta Pacifica, but it has a comfortable balance.

Why Stay Here

Bella Vista offers quick access to the Cinta Costera and several major roads. It’s close to shopping centers, restaurants, and the nightlife of nearby neighborhoods.

What You’ll Find

A mix of hotels, from budget to mid-range, along with business-friendly stays. Some boutique hotels offer a relaxed, stylish atmosphere.

Who It’s Best For

Bella Vista works well for travelers who want central access without staying in a tourist-heavy area.

Obarrio: Business District Convenience

Obarrio is part of the financial district, full of office buildings, cafés, and modern hotels. It’s clean, orderly, and easy to navigate. Many visitors choose Obarrio for its convenience and quiet evenings.

Why Stay Here

You can walk to restaurants, banks, shopping centers, and the iconic church with the modern white façade known as “Iglesia del Carmen.” Taxis are easy to find, and the area is connected to major roads.

What You’ll Find

Business hotels, boutique properties, and comfortable mid-range stays. Rooms tend to be modern and practical.

Who It’s Best For

Obarrio is great for business travelers and visitors who want calm, central convenience.

San Francisco: Trendy, Residential, and Full of Food

San Francisco is one of the most dynamic neighborhoods in Panama City. It’s lively but not chaotic, modern but still connected to local life. It’s full of restaurants, cafés, bakeries, yoga studios, and parks.

Why Stay Here

San Francisco has some of the best food in the city. You can find everything from high-end dining to casual brunch spots. It also has the beautiful Parque Omar, the largest urban park in Panama City.

What You’ll Find

A mix of boutique hotels and modern stays in residential towers. The neighborhood feels friendly and energetic.

Who It’s Best For

San Francisco is a great option for food lovers, business travelers, and anyone who enjoys a lively, modern atmosphere.

Amador Causeway: Waterfront Relaxation

While not a traditional neighborhood, the Amador Causeway does offer a few places to stay—and the setting is unforgettable. With water on both sides and views of the skyline and canal, staying on Amador gives you a unique coastal experience near the city.

Why Stay Here

You’ll enjoy ocean breezes, calm mornings, sunset views, and easy access to attractions like the Biomuseo and marinas. It’s peaceful and perfect for travelers who want a getaway feel without leaving the city.

What You’ll Find

Boutique hotels and comfortable stays near the water. Some offer views of the bay or the modern skyline shimmering in the distance.

Who It’s Best For

Couples, families, and anyone who wants to stay by the sea while still being close to the city.

Costa del Este: Modern, Polished, and Quiet

Costa del Este is one of the newest and most upscale residential areas in Panama City. It’s located east of the main city center and has wide streets, corporate towers, cafés, and parks.

Why Stay Here

The neighborhood is clean, organized, and modern. It feels like a planned city-within-a-city, with plenty of dining options and open spaces.

What You’ll Find

High-rise hotels, residential complexes, and luxury stays with impressive amenities.

Who It’s Best For

Business travelers and visitors seeking quiet, modern comfort.

Airport Area (Tocumen): For Short Layovers and Quick Access

If you’re arriving late, leaving early, or just passing through, the airport area offers several comfortable hotels close to Tocumen International Airport. It’s not a sightseeing area, but it’s practical.

Why Stay Here

You’ll avoid traffic and travel time. Some hotels offer free shuttles to the airport.

What You’ll Find

Mid-range to upscale hotels designed for convenience.

Who It’s Best For

Short stays, layovers, and early flights.

Choosing the Right Neighborhood for Your Trip

Each neighborhood offers something different. Here’s how I break it down when helping friends choose a place to stay:

• Choose Casco Viejo for charm, atmosphere, and history.
  
  
• Choose Avenida Balboa for ocean views and central convenience.Choose Punta Pacifica for modern luxury.
  
  
• Choose El Cangrejo for walkability and local flavor.
  
  
• Choose Bella Vista for balance and comfort.
  
  
• Choose Obarrio for quiet business-friendly stays.
  
  
• Choose San Francisco for food, energy, and parks.
  
  
• Choose Amador Causeway for waterfront relaxation.
  
  
• Choose Costa del Este for modern calm.
  
  
• Choose Tocumen area for practicality on short stays.

What to Expect From Hotels in Panama City

Hotels in Panama City range from luxury towers to small family-run inns. Many offer modern amenities such as pools, gyms, rooftop terraces, and ocean views.

Breakfast

Most hotels include breakfast—usually fruit, eggs, pastries, and local touches like plantains or hojaldres.

Services

Wi-Fi is common, and front desks often speak English. Many hotels can help you book tours or transport.

Prices

Prices vary widely depending on the neighborhood, season, and level of comfort. Panama City offers options for every budget.

Safety and Practical Tips for Staying in Panama City

Panama City is generally safe, but it helps to stay aware.

• Stick to familiar streets at night.
  
  
• Use taxis or ride-shares after dark.
  
  
• Keep your belongings close in busy areas.
  
  
• Wear comfortable shoes—sidewalks vary in quality.

The city is easy to navigate, and people are friendly and helpful if you need directions.

Transportation From Your Hotel

No matter where you stay, getting around the city is simple.

Taxis and Ride-Shares

These are the easiest ways to move between neighborhoods. They’re affordable and available everywhere.

Metro

The Metro is clean and efficient, connecting several major areas. It’s great for avoiding traffic.

Walking

In neighborhoods like Casco Viejo, El Cangrejo, and parts of San Francisco, walking feels natural and enjoyable.

Why I Love Staying in Panama City

What I love most about Panama City is the mix of experiences it offers. You can wake up in a modern hotel tower, spend the morning in a historic plaza, eat lunch in a trendy café, walk along the waterfront in the afternoon, and enjoy a rooftop sunset at night. Each neighborhood has its own heartbeat, and exploring them helps you see how much character this city holds.

Wherever you choose to stay, I hope you feel the energy, warmth, and diversity that make Panama City special. And if you see me having coffee in Casco or walking along Avenida Balboa, feel free to say hello. I’m always happy to share more about the city I call home.