I paid 109 euros when I spent a night there in July, and that was the rate from phoning up the day before (they also had a slightly cheaper room I think). I found that perfectly reasonable. Breakfasts are always expensive in hotels, so I never take that option. In Alfama there are plenty of good cafes that are within a short walk of the hotel. A great one is a bio cafe called Pois cafe on rua Sao Joao da Praca.
Pro tip
