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In Photos: Panama City’s Prettiest Neighborhood

by Sophia Titley
Sep 11, 2026
in Panama
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Historic colonial building with balconies and tropical plants in Casco Viejo, Panama City.

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The tiny finger of land that pokes out from Panama City’s southeastern corner and into the Pacific Ocean is San Felipe—better known to most as Casco Viejo, Casco Antiguo, or, simply, Casco.

This is Panama City’s historic district, full of centuries-old cathedrals, buildings with crumbling pastel façades, and narrow, cobblestoned streets. It is—by all accounts—the capital’s most lovely neighborhood.

Casco is laid out in grid format like a classic European city. Every few blocks, you’ll find a tree lined plaza or the spire of a cathedral, all of which casts an Old World charm over the place.

Panama City cathedral with ornate stone facade and white bell towers.

At only four avenues wide, the neighborhood is small and compact; a tiny treasure trove of historical structures best explored on foot. But despite all the visual reminders of the past, it’s also constantly evolving…

It boasts boutiques and art galleries, charming cafés and rooftop bars, and a huge range of dining options, from white tablecloth to street food on plastic tables.  

Some have called it the Soho of Latin America because of this eclectic mix. Casco also has a slightly gritty side… While restoration has nipped and tucked many of its buildings, there are still pockets of dilapidation here and there. The decaying buildings and graffitied walls give the place an edge and attract artists and bohemian types.

Vibrant cultural events take place in Casco constantly. On a given day, you might encounter an impromptu street concert or pop-up artisan market… Shows are regularly on at Anita Villalaz Theatre… Gastronomic events like “Diner en Blanc” take place against the backdrop of ancient ruins…

Historic ruins in Panama City with weathered brick and stone walls.

A pickup baseball game might be taking place on one of its beaches… A photography exhibition could be on around the corner… In a city where you can struggle to find something to do, Casco is surprisingly active. You only need to walk its streets to find out what’s going on.

Casco Viejo (Spanish for “old quarter”) was quite literally born from the ashes… The original Panama City, now known as Panama Viejo, was founded on Aug. 15, 1519, but its existence was short-lived. It suffered a vicious pirate attack carried out by Henry Morgan just 152 years later and was burnt to the ground.

Antonio Fernández de Córdoba, a Spanish nobleman, initiated the construction of a new city in 1672. It would be built on a peninsula with a defensive system wall for better protection against future attacks… On Jan. 21, 1673, Casco Viejo was founded.

Today, many of the buildings you find in Casco Viejo are Panama City’s first. They stand as testaments to the various phases of history that Panama passed through, with Spanish-colonial, French, Caribbean, and even Art Deco influences…

Historic French-style building in Panama City with blue shutters and balconies.

Expats are attracted to Casco Viejo by the beauty, culture, entertainment options, and history… Not many places in the world offer the chance to live within a UNESCO World Heritage Site.

Colorful colonial-style houses with wooden balconies and flowering plants.

The area is home to a small population of expats, mostly from Canada, the United States, Australia, Spain, Colombia, and Venezuela. It’s the social center for all of Panama City’s expats, too, so you’d encounter other foreigners on a daily basis here.

Casco expats pay top dollar for their slice of historical significance. This is Panama’s top neighborhood for tourism, so everything from rent to meals at restaurants to goods and services is more expensive here.

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Rent is always going to be the big-ticket item in this part of town. Where the average two-bedroom apartment rental in most parts of Panama City costs $1,050 a month, the cost in Casco Viejo is as much as $1,800 a month.

Many of Casco’s restaurants qualify as fine dining; this is reflected not only in the quality of the food but in the prices, too. An average meal for two at a high-end restaurant, including an appetizer, drinks, two mains, and dessert, can come to between $60 and $70.

Tropical cocktail and crispy appetizers served at a restaurant in Panama City.

English is widely spoken in Panama and especially in Casco Viejo—the epicenter of its tourism industry. Even with zero knowledge of Spanish, you won’t have problems being understood in Casco’s restaurants, cafés, stores, and so on.

To smooth travels and successful property buys,

sophia title opa signature
Sophia Titley

Sophia Titley

For Sophia Titley, home is a subjective concept. She was born in Singapore but grew up in Indonesia and Saudi Arabia… and has since lived in Canada, Spain, Colombia, and, most recently, Panama. She studied political science and Spanish at the University of British Columbia, and in her free time enjoys trying new recipes, playing soccer, and salsa dancing.

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