Where to Stay in Panama City 2026 | Best Areas + Hotel Map

Panama City is where Latin America meets the modern world - a skyline rivaling Miami, a UNESCO-listed colonial quarter, and the engineering marvel of the Panama Canal. The city works as a hub for the Americas, with connections everywhere and a curious mix of old Spanish heritage and Trumpian towers. Two to three days covers the highlights before heading to beaches or rainforest.

Editor's Pick for First-Timers

Casco Viejo

Panama's most atmospheric neighborhood with colonial buildings, rooftop bars with skyline views, and boutique hotels in restored mansions. Safe within the gentrified core (stick to main streets), walkable, and the best base for experiencing Panama beyond the canal. Book a rooftop dinner with city views.

History & Nightlife

Casco Viejo

Business & Convenience

City Center

Views & Canal

Causeway

Modern & Families

Costa del Este

Quick Guide: Best Areas

Casco Viejo (Old Town): Colonial architecture, rooftop bars, boutique hotels, UNESCO heritage
Panama City Center / Obarrio: Business hotels, shopping, restaurants, urban convenience
Causeway (Calzada de Amador): Canal views, waterfront dining, Biomuseo, sunset walks
Miraflores Locks Area: Panama Canal experience, lock viewing, visitor center
Costa del Este: Modern living, ocean views, expat community, new development

Things to Know

  • Casco Viejo borders rough neighborhoods - do NOT wander beyond the restored core, especially at night
  • El Chorrillo and Curundu neighborhoods are unsafe - avoid entirely
  • Taxi scams exist - use registered yellow taxis or Uber
  • Some areas around bus terminals feel sketchy - use direct transport
  • Traffic is horrendous - allow extra time for everything

Understanding Panama City Geography

Panama City hugs the Pacific coast at the canal's southern end. Casco Viejo peninsula juts into the bay. The modern city sprawls north and east with skyscrapers in the banking district. The Causeway extends into the bay toward the canal entrance. Miraflores Locks are 20 minutes northwest. The canal cuts through to the Caribbean side.

Main Districts Historic: Casco Viejo (colonial, nightlife). Modern: Obarrio/El Cangrejo (business, hotels), Punta Pacífica (luxury towers), Costa del Este (new development). Canal: Causeway (views), Miraflores (locks). Beyond: Bocas del Toro (Caribbean islands), San Blas (indigenous islands), Boquete (highlands).

Accommodation Map

Check availability and prices across Booking.com, Vrbo, and more.

Best Neighborhoods in Panama City

Casco Viejo (Old Town)

Best for: Colonial architecture, rooftop bars, boutique hotels, UNESCO heritage

$54+ $130+ $378+
Mid-range
History buffs Nightlife Photography Culture

"Beautifully restored colonial quarter with vibrant nightlife"

20 min to banking district
Nearest Stations
Taxi Metro Cinco de Mayo nearby
Attractions
Plaza de Francia Panama Canal Museum Rooftop bars Churches
7
Transit
Moderate noise
Safe within Casco but avoid surrounding areas especially at night. Stick to main streets.

Pros

  • Most atmospheric
  • Best nightlife
  • Historic character

Cons

  • Bordering rough areas
  • Limited parking
  • Can be touristy

Panama City Center / Obarrio

Best for: Business hotels, shopping, restaurants, urban convenience

$49+ $108+ $302+
Mid-range
Business Shopping Convenience First-timers

"Modern Latin American metropolis with gleaming skyscrapers"

15 min to Casco Viejo
Nearest Stations
Metro stations Albrook Bus Terminal access
Attractions
Shopping malls Restaurants Business district
8
Transit
Moderate noise
Safe in main areas. Normal city awareness for surrounding blocks.

Pros

  • Modern amenities
  • Good restaurants
  • Central location

Cons

  • Traffic chaos
  • Generic feel
  • Hot sidewalk walking

Causeway (Calzada de Amador)

Best for: Canal views, waterfront dining, Biomuseo, sunset walks

$65+ $140+ $324+
Mid-range
Views Families Canal lovers Dining

"Island causeway with panoramic canal and city skyline views"

15 min to city center
Nearest Stations
Taxi Bus to city
Attractions
Biomuseo Panama Canal view Isla Flamenco Waterfront restaurants
5
Transit
Low noise
Very safe tourist area.

Pros

  • Best canal views
  • Biomuseo
  • Waterfront dining

Cons

  • Limited hotels
  • Need transport
  • Hot during day

Miraflores Locks Area

Best for: Panama Canal experience, lock viewing, visitor center

$54+ $108+ $216+
Mid-range
Canal lovers Families Education

"Purpose-built visitor area at the famous canal locks"

30 min to city center
Nearest Stations
Taxi Tours from city
Attractions
Miraflores Locks Visitor Center Panama Canal
3
Transit
Low noise
Safe tourist facility area.

Pros

  • Ultimate canal experience
  • Ship watching
  • Museum

Cons

  • Far from city
  • Limited accommodation
  • Day trip destination

Costa del Este

Best for: Modern living, ocean views, expat community, new development

$76+ $162+ $378+
Luxury
Business Long stays Modern Families

"Miami-style planned community with modern high-rises"

30 min to Casco Viejo
Nearest Stations
Car essential
Attractions
Shopping centers Ocean views New developments
4
Transit
Low noise
Very safe planned development.

Pros

  • Modern facilities
  • Safe area
  • Ocean access

Cons

  • Far from sights
  • No character
  • Car essential

Accommodation Budget in Panama City

Budget

$38 /night
Typical Range: $32 – $43

Hostels, budget hotels, shared facilities

Most Popular

Mid-Range

$87 /night
Typical Range: $76 – $103

3-star hotels, boutique stays, great locations

Luxury

$179 /night
Typical Range: $151 – $205

5-star hotels, suites, premium amenities

💡 Prices vary by season. Book 2-3 months ahead for best rates.

Our Top Hotel Picks

Best Budget Hotels

Selina Casco Viejo

Casco Viejo

8.4

Trendy co-working hostel in restored colonial building with rooftop bar and social atmosphere. Digital nomad headquarters.

Digital nomadsSolo travelersSocial atmosphere
Check Availability

Tantalo Hotel

Casco Viejo

8.6

Art-filled boutique with famous rooftop bar and individually themed rooms. Casco's social scene anchor.

Nightlife loversArt loversCouples
Check Availability

€€ Best Mid-Range Hotels

American Trade Hotel

Casco Viejo

9.1

Ace Hotel-affiliated property in restored 1917 building with jazz club, excellent restaurant, and sophisticated atmosphere.

Design loversFoodiesMusic lovers
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The Bristol Panama

City Center

9

Elegant boutique hotel with renowned restaurant and classic luxury. Panama City's most refined traditional option.

Business travelersClassic luxuryFoodies
Check Availability

€€€ Best Luxury Hotels

Waldorf Astoria Panama

Punta Pacífica

9.2

Soaring tower hotel with stunning bay views, rooftop infinity pool, and Waldorf elegance in the sky.

Luxury seekersView seekersBusiness travelers
Check Availability

The Santa Maria Hotel

Santa Maria

9.3

Golf resort hotel with championship course, spa, and exclusive atmosphere. Panama's premier resort property.

Golf enthusiastsLuxury seekersRelaxation
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Unique & Boutique Stays

Las Clementinas

Casco Viejo

9

Restored 1930s apartment building with spacious suites, vintage charm, and apartment-style living in the old quarter.

CouplesLong staysUnique experiences
Check Availability

Smart Booking Tips for Panama City

  • 1 Panama City works as 2-3 day stopover between North and South America
  • 2 Dry season (December-April) is best; wet season afternoons bring heavy rain
  • 3 USD is the official currency (called Balboa) - no exchange needed
  • 4 Book San Blas island trips in advance if combining with city stay
  • 5 Many hotels include airport transfer - always verify
  • 6 Tocumen Airport is modern but 30-45 min from city center depending on traffic

Why you can trust this guide

We built this guide using recent climate data, hotel price trends, and our own trips, so you can pick the right month without guesswork.

Curated locations based on walkability & safety
Real-time availability via live partner maps
Jan Krenek

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Frequently Asked Questions

What is the best area to stay in Panama City?
Casco Viejo. Panama's most atmospheric neighborhood with colonial buildings, rooftop bars with skyline views, and boutique hotels in restored mansions. Safe within the gentrified core (stick to main streets), walkable, and the best base for experiencing Panama beyond the canal. Book a rooftop dinner with city views.
How much does a hotel cost in Panama City?
Hotels in Panama City range from $38 per night for budget accommodation to $87 for mid-range and $179 for luxury hotels. Prices vary by season and neighborhood.
What are the main neighborhoods to stay in Panama City?
Casco Viejo (Old Town) (Colonial architecture, rooftop bars, boutique hotels, UNESCO heritage); Panama City Center / Obarrio (Business hotels, shopping, restaurants, urban convenience); Causeway (Calzada de Amador) (Canal views, waterfront dining, Biomuseo, sunset walks); Miraflores Locks Area (Panama Canal experience, lock viewing, visitor center)
Are there areas to avoid in Panama City?
Casco Viejo borders rough neighborhoods - do NOT wander beyond the restored core, especially at night El Chorrillo and Curundu neighborhoods are unsafe - avoid entirely
When should I book a hotel in Panama City?
Panama City works as 2-3 day stopover between North and South America