Known to locals as the Terreiro do Paço after the royal palace that once stood on this spot, Praça do Comércio (Commerce Square) is lined with 18th-century colonnaded buildings fronted by expansive esplanades. Today, trendy restaurants and cafés fill the arcades, while down by the river, the renovated waterfront promenade attracts joggers, cyclists, and sunbathers who catch rays on the steps during summer.
The equestrian statue in the center is of Dom José I, king at the time of the earthquake and subsequent rebuilding. In the northwestern corner of the square, a wall plaque recalls the day in 1908 when King Carlos and his eldest son, Luís Filipe, were assassinated as the family passed through in their carriage. (Two years later his second son, Manuel, fled the country after a republic was declared from the balcony of Lisbon's city hall, just round the corner on Largo do Município.) Throughout the year, the square hosts major events from New Year's Eve celebrations to food festivals, while kiosks—including one with an expansive terrace overlooking the river—serve potent caipirinhas and other drinks. The tourist information center and the Lisbon Story Centre museum occupy prime spots under the arcades.