Old Town Charm with Fresh Italian Plates & Pizza Done Right
If you’re wandering through the Old Town and looking for somewhere with a bit of atmosphere, Il Terrazo on R. Oliveira Martins is a charming find in Albufeira. It’s the sort of restaurant that feels inviting from the first step in—pleasant surroundings, a genuinely welcoming team, and a pace that encourages you to settle in and enjoy your meal rather than rush through it.
The food is where Il Terrazo really earns its reputation. Guests often mention how remarkably fresh everything tastes, from starters through to mains, with quality that feels thoughtfully done instead of mass-produced. There’s also a nice format to the meal experience: starters can be buffet style, giving you the freedom to sample a few things, then you choose your main course—great when your table can’t agree on just one direction.
Pizza lovers have a clear favourite here: the Giovanni pizza stands out, thanks in part to a house-made pesto that adds a bright, savoury depth and makes the whole pie feel special. If you’re after something to share with a glass of wine, the meat and cheese board is another highlight—beautifully arranged, generous, and ideal for a slower evening of conversation. Prices are often described as reasonable for the level of cooking, which makes it feel like a smart pick whether you’re on a casual night out or planning a more memorable dinner.
Between the fresh ingredients, the relaxed service, and that authentic Old Town vibe, Il Terrazo is a strong choice for Italian restaurant comfort in Albufeira—especially if you want great pizza and a welcoming room to enjoy it in.
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Ariel Zacharko
in the last weekThat’s not restaurant. It’s internal kitchen for all inclusive hotel MGM guests
Vanessa Alves
a week agoVivek A
a week agoThe food was absolutely delicious. Highly recommend the pollo pesto. The service was fantastic. Overall a great experience
María Maria
3 weeks agoAli Al Ani
a month agoThis is strictly a review of the Italian restaurant Il Terrazzo. It was such a fantastic experience for us that we had to go a second time and they did NOT disappoint. The food is absolutely wonderful. Portion sizes are good, taste is great. Both the starters and the main course were fantastic. Desert was killer too. Both times we felt like we were overfed and drowsy from how much good food we ate. I also want to give a shout-out to the loveliest man Lima who is so unbelievably welcoming to any guest. He is very good at languages and always tries to throw in a word or two with a joke in your native language with a big smile. Explains the menu really well. Gentleman!! Give him a raise. If you are reading this and wanting to the stay at the hotel, the Italian and the Indian are both amazing.