Thinking about investing in a riad in Marrakech? Whether you’re looking for a guesthouse project, a second home, or a smart real estate investment, choosing the right neighborhood is key. Each district of the Red City offers a unique atmosphere, lifestyle, and level of investment potential.

Here’s our expert breakdown of the best neighborhoods in Marrakech to buy a riad, including pros, cons, and insider tips.


1. Medina (Old City)

The historic heart of Marrakech, the Medina, is where most traditional riads are located. With its labyrinthine alleys, ancient architecture, and buzzing souks, it offers authenticity and charm that travelers seek.

Best areas in the Medina:

  • Riad Laarous – Central and accessible, great for rentals.
  • Sidi Ben Slimane – Quieter, residential, elegant.
  • Mouassine & Dar El Bacha – High-end, with boutique riads and art galleries.
  • Ben Youssef – Historic, full of character, popular with tourists.

– Pros:

  • High tourist interest.
  • Authentic Moroccan architecture.
  • Strong rental potential.

– Cons:

  • Some areas are difficult to access by car.
  • Need renovation and legal setup for guesthouses.

2. Kasbah

Located in the southern Medina, the Kasbah is calmer and more spacious than the inner souks. It’s known for palaces, gardens, and royal tombs — and it’s increasingly popular with boutique hotels and foreign buyers.

– Pros:

  • Easy road access.
  • Walking distance to major landmarks.
  • Growing investment area.

– Cons:

  • Some areas still developing.
  • Prices rising quickly due to demand.

3. Bab Doukkala

This is a traditional yet slightly modernized area within the Medina. It’s known for its local atmosphere, proximity to the Majorelle Garden, and easier road access.

– Pros:

  • Less touristy but still central.
  • Wide alleys, easier renovations.
  • Access by car in most parts.

– Cons:

  • Fewer high-end shops and restaurants.

– 4. Palmeraie

If you’re looking for luxury and space rather than historic charm, the Palmeraie is ideal. Located just outside the city, this area offers villas, gardens, and peace.

– Pros:

  • Modern amenities and large properties.
  • Great for building luxury guesthouses or retreats.

– Cons:

  • Far from the city center.
  • Less authentic riad style; more modern villas.

5. Sidi Mimoun & Ksour

These areas sit between the Medina and the royal palace district. Quiet, luxurious, and close to top restaurants and Mamounia Hotel — perfect for high-end investors.

– Pros:

  • High-end potential.
  • Safe and well-maintained.
  • Excellent location.

– Cons:

  • Expensive.
  • Limited number of properties for sale.

– Tips for Choosing the Right Area

  • Purpose: Are you buying to live, invest, or host guests?
  • Accessibility: Some medina areas are hard to reach with luggage or construction material.
  • Tourist Traffic: High foot traffic areas perform well for guesthouses.
  • Renovation Rules: Some neighborhoods are protected and require special permissions.

– We Can Help You Buy & Renovate Your Riad

At Dar & Riad, we help foreigners:

  • Find and evaluate high-potential properties.
  • Navigate the legal setup and paperwork.
  • Renovate and register your property as a guesthouse.
  • Manage and list it on Airbnb, Booking, and more.

Looking for property help in Marrakech? Contact us now for a free consultation.