Vila Real, the capital of the Tras-o-Montes province, is a sleepy university town set in a sea of rural tranquility. The town is located above the confluence of the Rio Cabril and the Rio Corgo. Diogo Cão, who discovered the Congo River in 1482, was born in Vila Real.

The town has long been a popular place to have a second home. The most famous has to be the Palacio do Mateus, used as a holiday home by the Portuguese royal family during the sixteenth and seventeenth centuries. The Palacio do Mateus, which is featured on bottles of well-known Mateus rose wine, was built in 1745 to a design by the fashionable Italian architect, Nicola Nasoni.

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