Whatever your preference may be, we’ve put together a list of tried-and-tested bars and places to drink in the Algarve that you can consider when planning for your vacation in Portugal.

Let’s get started.

The bars in the Algarve are either on top of hills or right by the sandy shores, which, complemented by warm, pleasant weather, really sets the stage for memorable evenings and afternoons with live music and great cocktails.

And the best part? You can enjoy every type of evening at these bars, no matter what you’re in the mood for. Want to chill out with a cocktail and some relaxing music? We’ve got plenty of spots for that. Hungry for some great food and drinks after a day of exploring? Some of these bars serve amazing food. In the mood for a party? Every now and then, the bars on the beach host some of the most unmissable parties you’ll ever experience.

Best bars in the Algarve

Just right on the top of the hill in Carvoeiro, Sky Bar 360°, gives you more than a panoramic view of the Atlantic — though, between us, that might be enough to draw you in. We recommend swinging by in the afternoons or early evenings, especially on Thursdays and Saturdays. Those days, a live DJ and saxophonist team up to bring the place to life with their vibrant music. We’d say it’s the perfect spot for a nicely made cocktail and to truly feel the heartbeat of the Algarve’s evening scenes.

SKY BAR 360° In CARVOEIRO

Decadente in Carvoeiro

Right in the center of Carvoeiro, Decadente is a cozy, small, well-decorated spot with a charming atmosphere for drink, chatting, and snacks. On top of that, this place serves amazing gin and tonics and possibly the best coffee you will have in your life. It also offers some great wine.

Casa do Cerro in Albufeira

Looking for a chill spot to spend your evening? Head over to Casa do Cerro in Albufeira. It's the place to be if you're into laid-back, chill music and creative cocktails. They've also got a shisha bar, so you can relax with some flavored shisha as the night unfolds.

Did you know that ordering just 'coffee' in Portugal won't get you what you expect?
Coffee here is serious business, with dozens of names for different types:

Café (or Bica): this is a single espresso shot, often referred to simply as "café" or "bica."
Café com Leite: coffee with milk
Garoto: similar to a small coffee with a dash of milk, less strong than a "café."
Galão: similar to a latte (larger size)
Café Duplo: a double espresso.

Did you know?

Saúde

Sparkling water

Beer

Cerveja

Some portuguese words

Cheers

Água com gás

Wine

Vinho

Club Nau in Ferragudo

Another gem, tucked away in Praia Grande in Ferragudo, Club Nau is a really good blend of good food and chilled jazz afternoons.
Live bands perform several times a week, creating a lively backdrop for both dining and dancing. Some days, after the live music, a DJ takes over to keep the vibe going. With gorgeous sea views, wooden tables, and colorful sofas, Club Nau really calls you to forget about everything and order your favorite drink. Eating local Portuguese cuisine with beautiful music in the background — it doesn’t get better than this.

Being minutes away from Benagil Beach, and perfectly placed for a sunset view, this beach club is not just a cocktail bar in Algarve — it’s also a fantastic sushi spot. Pair your favorite sushi with a crisp glass of white wine while you gaze out over the ocean. It's a match made in heaven.

Benagil Beach Club

Rei das Praias in Ferragudo

Located right on the beach, Rei das Praias is another spot near Ferragudo, that is as ideal for its seafood as it is for the cocktail bar in Algarve and nightlife. Sometimes, they throw these beach parties at sunset that are every bit of fun as you’re imagining, dancing barefoot in the sand under the stars. And when the sun is up, you can enjoy their freshly caught fish and exquisite seafood while sipping on something refreshing.

Quinta dos Santos in Estômbar

Bar Havana might be small, but it’s bursting with life! Decked out with a Cuban theme, funky decor, and amazing music, Bar Havana serves some stellar cocktails that have made it a hit with locals and vacationers. The bar opens late in the evening around 6:30 pm and stays open till late.

Edd's Beach Club in Ferragudo

This is your go-to daytime hangout in the Algarve. It’s the perfect spot for lounging by the pool and enjoying drinks with your friends. The place has a laid-back, beachy vibe and a menu that’s just right for a leisurely lunch or a lazy afternoon sipping tropical drinks. So if you’re looking to soak up some sun and take it easy, Edd’s Beach is the place to be.

Bar Havana in Carvoeiro

For those who appreciate a good glass of wine or a freshly brewed beer, Quinta dos Santos is a must-visit. This vineyard and brewery serves up a delightful tasting experience with its locally produced wines and craft beers. If you decide to visit this local business in Carvoeiro, you’ll experience the craftmanship behind winemaking and brewing. This spot’s laid-back vibe and rustic charm make it a cherished local secret—just the kind of place you'd want to visit.

Nosolo Agua in Portimão

Nosolo Agua in Portimão stands out with its killer beachfront location and a reputation for hosting some of the best parties in the area. The club has a huge swimming pool which is surrounded by comfortable daybeds and loungers, perfect for lazing away a few hours. And if you prefer the sand over the pool, they’ve got you covered with beachside beds too. On any given day, you can expect chill music and a casual vibe that’s perfect for a day at the beach. At night, the party kicks off and tourists and locals get together to dance till dawn. But if you’re not up for a full day of lounging, just stopping by the beach club for a drink is always a great option.

Cocktail Garden in Carvoeiro

This is another of our recommendations, Cocktail Garden, over in Carvoeiro, tucked away in Monte Carvoeiro right by the cozy square. It’s a super-friendly bar that’s famous for freestyle bartending and impressive cocktails. With palm trees and a central fountain, this place is a perfect place to meet up with friends and chill out on warm summer evenings. While you’re sipping one of their creative concoctions, you can catch all the major sports on TV too. And with lively music, a pool table, and loads of puzzles and games, there’s something to keep everyone entertained.