Lisbon just ranked #1 in the world for expats. That's not entirely good news.

Good morning, Lisbon. It's Sunday, 24 May. Twenty-four degrees, sunny and Lisbon just ranked first in the world for expats.

🌬️ AIR QUALITY: 20 (Good).

🗞️ TOP STORY

LISBON JUST RANKED AS THE MOST PREFERRED DESTINATION FOR EXPATS IN THE WORLD. HERE'S THE PART THE RANKING DOESN'T SAY.

This week, Lisbon was named the most preferred destination for expatriates globally. First in the world, ahead of every other city on the planet. If you are reading this newsletter, you are living in the place the rest of the world most wants to move to.

The reasons are familiar to anyone who has spent a week here: the climate, the safety, the food, the cost of living relative to London, Paris, or New York. The healthcare system, for all its frustrations, is accessible. The timezone works for remote workers on both sides of the Atlantic. The cultural life is rich without being exhausting. The river, the light, the jacarandas. The sardines. The pastéis de nata at Manteigaria. The Sunday evening Out Jazz in the parks. You already know why you're here. The ranking just confirmed it.

What the ranking doesn't measure is the pressure that your arrival creates. Every expat who moves to Lisbon contributes to the demand that pushes rents higher, housing further out of reach, and neighbourhoods further from what they were when you first walked through them and thought "this is the place." Room rents have surpassed €600 a month and climbing. Bank valuations hit €5,198 per square metre in the municipality. 11% of rental properties are booked within 24 hours. The most preferred destination for expats is also the most difficult city in Portugal for locals to afford.

This is not a guilt trip. Moving to a city you love is not something to apologise for. But the ranking and the housing crisis are not separate stories. They are the same story told from different ends. The qualities that earned Lisbon first place (affordability, authenticity, neighbourhood character) are the qualities most at risk from the demand that the ranking itself will generate.

Third in Europe for food. First in the world for conferences. First in the world for expats. The rankings keep arriving, and each one brings another wave of attention that the city's infrastructure (one-runway airport, an unreformed rental market, a metro that closes at 1am) is not yet built to absorb.

Bottom line: Lisbon earned the ranking. You were right to come here. The question the city is trying to answer is how to stay the place you fell in love with while the rest of the world arrives behind you.

⚡ QUICK HITS

The cost of groceries and dining out in Portugal remains stubbornly high. April inflation hit 3.36% overall, with energy at 11.69% and fresh food at 7.45%. While headline inflation has been volatile across the Eurozone, the categories that matter most to daily life in Lisbon (food, energy, transport) continue to run well above the comfort zone. The supermarket bill that was €486 more per year than 2019 is still climbing.

33 cherries just sold for €820 in Fundão. That is roughly €25 per cherry. The annual cherry auction in the Beira Baixa marks the opening of cherry season, and the premium lots go to restaurants and luxury retailers. Portuguese cherries from Fundão are considered among the best in Europe. If you see them at the market this week, they will cost considerably less than €25 each, but they are worth buying before they disappear.

E-scooter helmets are about to become mandatory. PSD presented a bill on Thursday making helmets and reflective equipment compulsory for e-scooter and bicycle riders. If you ride a Lime, Bolt, or Bird scooter in Lisbon, the rules are changing. The combination of cobblestones, tram tracks, steep hills, and speeds up to 25km/h with no head protection has been an accident waiting for a law. It just arrived.

Lisbon Metro workers went on strike on Friday. Services were disrupted across the network, leaving commuters scrambling for alternatives. The action is separate from the CGTP's June 3 general strike, which means the two could compound if Metro workers join the broader stoppage. If your daily commute depends on the Metro, keep an eye on union announcements over the next ten days.

🍽️ SPOT OF THE DAY

AUGUSTO LISBOA (SÃO VICENTE)

The pink floor is the first thing you notice. It is the exact shade of Rua Nova do Carvalho (Pink Street) in Cais do Sodré, except here it covers the entire room of a tiny brunch spot on a quiet street between Alfama and Graça. Then you notice the gold spoons. Then the jungle-print walls. Then the chandelier. Then the fur-covered chairs. Then you realise you have been standing in the doorway for 30 seconds and the queue behind you is getting impatient.

Augusto Lisboa sits on Rua de Santa Marinha, a narrow street below the Miradouro da Graça that most visitors to the area walk straight past. Laura, the owner, opened it as a neighbourhood breakfast spot and watched it become one of the most Instagrammed cafes in Lisbon without ever adding a reservations system or an outdoor terrace. Walk-ins only. No bookings. The queue on weekends can run 30 minutes, spilling down the stairs across the street.

The food is better than the aesthetic suggests. The avocado toast on sourdough with a poached egg and carrot ribbons is the dish most first-timers order. The ham toast with truffle oil is the one that converts sceptics. The banana bread with homemade peanut butter has been called out by food writers more than any other item on the menu. The bowls (yogurt, oat porridge, tropical fruit) are substantial and well balanced. The Brazilian Detox smoothie is the drink that regulars swear by. Fresh juices, proper coffee, and ice cream in the afternoons.

The staff speak Portuguese, French, English, and more. Dogs are welcome. The vibe on a Sunday morning is exactly the kind of colourful, slightly chaotic, genuinely friendly atmosphere that makes Lisbon's brunch scene different from every other city trying to copy it.

→ Pink floors, gold spoons, and a brunch queue worth joining ←

Rua de Santa Marinha 26, São Vicente (on the border of Alfama and Graça). Open daily. No reservations. Walk-ins only. €5 to €20 per person. Dogs welcome.

Insider tip: Go before 10am today and you walk straight in. By 11am the queue is real. If you're visiting on a Tuesday or Saturday, combine it with the Feira da Ladra flea market at Campo de Santa Clara, a ten-minute walk away. That's a full morning for under €20.

📅 WHAT'S ON

Reach Lisbon's expat community. Advertise in The Lisbon Letter. Request our media kit.

See you tomorrow morning.