Colonia del Sacramento, or simply Colonia, was founded in 1680 by Portuguese settlers from Brasil. Throughout the 17th century it was an important center for smuggling British goods across the river to Spanish colonies.

The small historic section of town was once entirely walled. Narrow cobblestone streets, colonial buildings and re-constructed city walls make strolling and exploring at your own pace a delight.

The historic center has been declared a Patrimonio Cultural de la Humanidad by UNESCO. The Plaza Mayor is the heart of the old city and is particularly picturesque with Museo Municipal, Casa del Virrey, Museo Portuguese, a lighthouse, ruins of the San Francisco Convent and gate and restored city wall surrounding it.

In addition to the historic buildings, there are small restaurants and small boutiques around the Plaza Mayor and on the small streets radiating from the Plaza.

Without a doubt, Colonia is well worth a day. Spend half of it on a guided tour and the other half exploring at your own pace. Several small hotels are located in the historic area.