Best Boutique Hotels in Panama City: 8 Stylish Stays for 2026
Discover the best boutique hotels in Panama City, from the colonial charm of Casco Viejo to the modern skyline of Obarrio. Expert picks with prices, tips, and insider advice.
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Why Panama City Is Central America's Boutique Hotel Capital
Panama City has quietly become one of the most exciting hotel destinations in Central America. The city's remarkable mix of colonial architecture, modern skyscrapers, lush tropical parks, and a thriving culinary scene has attracted a wave of boutique hotel operators who have transformed historic buildings and contemporary spaces into stylish, intimate accommodations that rival anything found in much larger cities.
Unlike the cookie-cutter chain hotels that dominate many Central American capitals, Panama City's boutique hotel scene offers personality, design, and a sense of place that connects guests to the city's unique character. Whether you prefer the cobblestone romance of Casco Viejo, the leafy sophistication of El Cangrejo, or the contemporary energy of the banking district, there is a boutique property perfectly suited to your style and budget.
Understanding Panama City's Neighborhoods
Before diving into specific hotel recommendations, it helps to understand the city's geography and the distinct character of each neighborhood where boutique hotels have established themselves.
Casco Viejo (Old Quarter)
The crown jewel of Panama City's hotel scene, Casco Viejo is a UNESCO World Heritage Site undergoing one of the most impressive urban regeneration projects in the Americas. Colonial-era buildings have been meticulously restored to house boutique hotels, restaurants, rooftop bars, and galleries. Staying here puts you within walking distance of historic churches, vibrant plazas, and the best dining and nightlife in the city. The neighborhood buzzes with energy in the evenings while maintaining a relaxed, artistic atmosphere during the day.
Obarrio and El Cangrejo
These adjacent neighborhoods in the modern city center offer a more contemporary urban experience. Tree-lined streets are home to excellent restaurants, sidewalk cafes, and a cosmopolitan atmosphere that reflects Panama's role as a global crossroads. Hotels here tend toward sleek, modern design and are well-positioned for exploring both the old and new sides of the city.
Costa del Este
Panama City's newest upscale neighborhood sits along the coast east of downtown. Gleaming towers, international restaurants, and proximity to the airport make this an increasingly popular base for travelers who appreciate modern comforts and efficiency.
1. The Conservatorio — Casco Viejo
Price Range: $$$ | Style: Colonial Luxury
The Conservatorio occupies a beautifully restored colonial mansion in the heart of Casco Viejo, blending original architectural details like exposed stone walls and wooden beams with contemporary design elements. Each of its twelve suites is individually designed, featuring curated art from Panamanian artists, handcrafted furniture, and luxurious linens. The rooftop terrace offers panoramic views of the old quarter and the modern skyline beyond, providing one of the best sunset vantage points in the city. The hotel's intimate size means personalized service that anticipates guests' needs, from arranging private tours of the Panama Canal to securing reservations at the city's most sought-after restaurants.
Why stay here: For travelers who want to be immersed in history without sacrificing modern luxury, The Conservatorio strikes a perfect balance. The location is unbeatable for exploring Casco Viejo on foot, and the staff's knowledge of the neighborhood's hidden gems elevates the experience beyond what any guidebook can offer.
2. Las Clementinas — Casco Viejo
Price Range: $$ | Style: Apartment-Style Boutique
Las Clementinas offers something different from the typical boutique hotel experience: spacious apartment-style suites in a restored early twentieth-century building. Each suite features a full kitchen, living area, and one or two bedrooms, making it ideal for longer stays, families, or travelers who appreciate the freedom of having their own space. The building's original tile floors, high ceilings, and wrought-iron balconies have been preserved and complemented with mid-century modern furniture and contemporary art. The ground-floor cafe and bar has become a neighborhood gathering spot, and the rooftop provides yet another spectacular view of the Casco Viejo skyline.
Why stay here: The apartment format provides exceptional value and flexibility, particularly for stays of three nights or more. Having a kitchen allows you to shop at the nearby Mercado de Mariscos (seafood market) and prepare fresh ceviche in your own suite — an experience that feels authentically Panamanian in a way that room service never could.
3. Hotel Casa Sucre — Casco Viejo
Price Range: $$ | Style: Historic Charm
Named after the Venezuelan independence hero Antonio José de Sucre, this boutique hotel occupies one of Casco Viejo's most photogenic colonial buildings. The property strikes a balance between historic preservation and comfortable modernity, with rooms that feature original architectural details alongside reliable air conditioning, quality mattresses, and modern bathrooms. The central courtyard, a hallmark of colonial architecture, serves as the hotel's social hub, where guests gather for breakfast and evening cocktails surrounded by tropical plants and the gentle sound of a fountain. The hotel's location on one of Casco Viejo's most picturesque streets means that simply stepping out the front door puts you in the middle of a living postcard.
Why stay here: Hotel Casa Sucre is the sweet spot for travelers who want authentic Casco Viejo character at a mid-range price point. The complimentary breakfast served in the courtyard is excellent, and the staff are genuinely passionate about sharing their neighborhood with guests.
4. Tantalo Hotel — Casco Viejo
Price Range: $$ | Style: Urban Creative
Tantalo has become something of a cultural landmark in Casco Viejo, known almost as much for its rooftop bar and restaurant as for its rooms. Each of the twelve rooms was designed by a different Panamanian artist, resulting in spaces that range from whimsical and colorful to minimalist and thought-provoking. The hotel's ground-floor kitchen serves some of the best contemporary Panamanian cuisine in the city, while the rooftop bar — consistently rated among the best in Panama — draws a lively mix of hotel guests, locals, and visitors who come for the cocktails, DJ sets, and spectacular views. The location in the heart of Casco Viejo's nightlife district means the action is at your doorstep, though light sleepers should be aware that weekend evenings can be lively.
Why stay here: Tantalo is perfect for travelers who see their hotel as part of the entertainment, not just a place to sleep. The artistic rooms, excellent food, and legendary rooftop make it an experience in itself, and its central location makes it the ideal base for exploring Casco Viejo's growing gallery and restaurant scene.
5. Bristol Panama — Obarrio
Price Range: $$$$ | Style: Classic Luxury
For travelers who prefer the modern city center, the Bristol Panama offers a level of sophistication and service that has earned it a reputation as one of Central America's finest luxury hotels. The property channels a European grand hotel aesthetic with its marble lobby, crystal chandeliers, and impeccably trained staff, while distinctly Panamanian touches — from the local art collection to the menu at its acclaimed restaurant — keep it grounded in its setting. Rooms are spacious and elegantly appointed, with the kind of small luxuries (Egyptian cotton linens, premium bath products, nightly turndown service) that justify the premium price. The hotel's restaurant, Salsipuedes, is a destination in its own right, serving modern Panamanian cuisine that draws from the country's diverse culinary traditions.
Why stay here: The Bristol is for travelers who prioritize impeccable service and refined comfort above all else. Its location in the financial district provides easy access to both the modern city's attractions and, via a short taxi ride, the historic old quarter.
6. Hotel & Residences La Compañía — Casco Viejo
Price Range: $$$$ | Style: Grand Heritage
Occupying a restored Jesuit convent and an adjacent colonial building, La Compañía is perhaps the most ambitious boutique hotel project in Panama City's history. The property seamlessly blends centuries of architectural history — from colonial-era cloisters to Republican-period facades — with contemporary luxury. Three distinct buildings offer different experiences: the Heritage building with its original stone walls and wooden beams, the Casa Horno with its more intimate scale, and the modern Canal House with its panoramic views. Two pools, a spa, multiple dining venues, and a location adjacent to the historic Plaza de la Independencia make this a self-contained urban resort that also serves as an ideal launchpad for exploring the neighborhood.
Why stay here: If budget is not a primary concern, La Compañía offers the most complete luxury experience in Casco Viejo. The sheer beauty of the restored architecture, combined with five-star amenities and a central location, creates something truly special.
7. Selina Casco Viejo — Casco Viejo
Price Range: $ | Style: Social & Creative
At the more accessible end of the spectrum, Selina has carved out a niche in Casco Viejo that appeals to younger travelers, digital nomads, and creatives. The property mixes dormitory beds, private rooms, and suites in a restored colonial building, with shared spaces that include a coworking area, yoga studio, communal kitchen, and a lively bar that hosts regular events. What sets Selina apart from typical hostels is the quality of design — even the dormitory rooms are thoughtfully designed with quality materials, and the common areas feature local art, comfortable furnishings, and Instagram-worthy aesthetics. Regular programming including movie nights, salsa classes, and guided walking tours creates a social atmosphere where solo travelers quickly find community.
Why stay here: Selina democratizes the Casco Viejo experience, making it accessible to budget-conscious travelers without sacrificing style or location. The coworking space and reliable Wi-Fi make it particularly attractive to remote workers looking for an inspiring base in Panama City.
8. Santa Maria Hotel & Golf Resort — Costa del Este
Price Range: $$$$ | Style: Contemporary Resort
For travelers who prefer a resort experience within a city setting, the Santa Maria offers world-class facilities including a championship golf course, full-service spa, multiple pools, and several dining options. The contemporary architecture and design create a sense of space and light that contrasts with the intimacy of Casco Viejo's colonial properties. Rooms feature floor-to-ceiling windows with views over the golf course, the city skyline, or the Pacific Ocean, and the level of finish throughout the property reflects the premium positioning. The location in Costa del Este, while removed from the historic center, provides excellent access to the international airport and the modern amenities of Panama's newest upscale neighborhood.
Why stay here: Ideal for golf enthusiasts, spa lovers, or travelers who prefer a modern resort environment to the urban energy of the city center. The Santa Maria also works well for business travelers who need proximity to the financial district and airport.
Practical Tips for Booking Boutique Hotels in Panama City
Best time to visit: The dry season from December through April offers the most pleasant weather, but the wet season (May through November) brings lower prices and fewer crowds. Rain typically falls in afternoon bursts, leaving mornings clear for exploration.
Book direct when possible: Many boutique hotels offer better rates, room upgrades, or added perks when you book through their website rather than through online travel agencies.
Consider location carefully: If nightlife and dining are priorities, Casco Viejo cannot be beaten. If you need proximity to the business district or prefer a quieter environment, Obarrio or Costa del Este may be better fits.
Transportation: Uber works reliably throughout Panama City and is the easiest way to move between neighborhoods. From Casco Viejo, a ride to the modern city center takes about ten minutes.
Currency: Panama uses the US dollar as its official currency, making budgeting straightforward for American travelers and simplifying currency calculations for everyone else.
Final Thoughts
Panama City's boutique hotel scene reflects the city itself — diverse, dynamic, and full of pleasant surprises. From lovingly restored colonial mansions in Casco Viejo to sleek contemporary properties in the modern city center, there is a boutique hotel for every taste and budget. The best advice is to let your choice of neighborhood guide your hotel selection, as where you stay in Panama City significantly shapes your experience of this fascinating, multifaceted capital. Whichever property you choose, the combination of Panamanian warmth, world-class dining, and a city that seamlessly blends five centuries of history with twenty-first-century dynamism ensures a memorable stay.
About the Author
Ana RodriguezEl Salvador, Nicaragua & Belize Specialist
Ana Rodriguez is a Salvadoran travel writer and photographer who covers El Salvador, Nicaragua, and Belize. With 8 years of experience and a passion for off-the-beaten-path destinations, she helps travelers discover hidden gems across Central America.
