A jewel-box Italian-style theatre carved out of the 16th-century Jesuit College building on Rua de Portugal. Opened in 1845, the three-tiered horseshoe auditorium holds only about 350 seats and feels like a miniature La Scala — gilt boxes, red velvet, a painted ceiling.
It still hosts plays, recitals, and the Algarve International Music Festival each spring. Even if there's no performance, the cafe in the foyer is worth a visit and the staff are usually happy to show off the auditorium when it's empty.