The Praça do Carmo sits at the lower edge of Olinda's historic centre, where the cobblestone streets of the hill meet the flat ground below. The Igreja do Carmo on the square's north side is an imposing 17th-century Carmelite church with a broad facade and a clock tower; the church interior has baroque woodwork and gilded altars, and is open for visits. The adjoining convent buildings now serve various public uses.
The praça itself is a genuine gathering place — benches, shade trees, food and drink vendors, and a flow of people that mixes locals and visitors more naturally than the tourist-heavy hilltop. On weekday mornings it functions as a market for fruit and vegetables. During Carnival, the square is one of the main assembly points for the boneco processions before they climb the hill. If you are arriving in Olinda for the first time, the Praça do Carmo is a good place to orient yourself before walking up into the historic centre.