Its Soviet past long behind it, the Czech capital is Europe's city of the moment, fairly humming with a new energy—and more visitors than ever

A cozy jumble of Romanesque, Gothic, Baroque, and modern architecture, Prague is a beautifully walkable city, perhaps best seen by means of a series of perambulations to various cultural magnets—the Castle, the National Museum, the Old-New Synagogue and cemetery, and the Municipal House. The Malá Strana's vertiginous hills will give you a solid aerobic workout, particularly on the hike to the medieval Strahov Monastery to see the unbelievably ornate libraries and have a drink at the Monastic Brewery. You'll log a surprising number of miles this way, and thoroughly burn off today's pilsners to make way for tonight's Moravian riesling.

It's taxi roulette. There are scrupulously honest, and hilariously dishonest, cabbies—as in very fast meters or no meters at all. Expect to pay $25 on average for a trip from the airport. In town, get your hotel to hire cabs. Then learn some really vicious Czech curses.

The weekly Prague Post has concert listings as well as restaurant and theater reviews (praguepost.cz). In the Old Town Hall, kiosks have fliers for concerts and all manner of goings-on—many free, and some in wonderful venues otherwise not open to the public, such as the gorgeous Baroque Clam-Gallas Palace.

The country code for the Czech Republic is 420. Prices quoted are for November 2006.

Lodging
Prague's tourism boom has not been lost on hotel developers: Rooms and service have come a long way, and the best beds are brand-spanking-new.

Let's start in the Malá Strana (Lesser Town), below the Castle. In mid-September, the plush Mandarin Oriental opened in several Renaissance-era buildings around the Museum of Music. Rooms in the spa building have exposed beams and faded remnants of ancient murals (233-088-888; mandarinoriental.com; doubles, $379–$798). Nearer the Castle, the Alchymist Grand Hotel has 47 opulent Baroque rooms and a Gothic cellar with a sauna, an Indonesian massage parlor, and a sushi bar (257-286-011; alchymisthotel.com; doubles, $304). The Hotel Waldstein is a whitewashed gem in two 18th-century houses. Book well in advance: It has just 26 rooms in the main house (257-533-939; doubles, $309–$390).

Across the river, several high-style hotels have sprouted. Rating 89.4 in this year's "Readers' Choice Awards", the Four Seasons is a bastion of luxe on the Vltava (221-427-000; fourseasons.com; doubles, $320–$950). Near Old Town Square, the Ventana has 29 rooms and two huge suites with excellent views—rooms 25, 27, 35, and 37 have partial views of the square)—and fantastic service for the price: All rooms have free Internet access, and the desk has loaner laptops (221-776-600; ventana-hotel.net; doubles, $152–$240). The Hotel Josef is a small blazing-white joint designed by Czech architect Eva Jiricna. Its rocking little bar recalls Eero Saarinen's TWA terminal at JFK (221-700-111; hoteljosef.cz; doubles, $222–$380). Nearby, also designed by Jiricna, the luxe 70-room Maximilian faces Prague's oldest convent. Even without the hotel's extra-indulgent spa, the contradiction couldn't be starker (225-303-111; maximilianhotel.com; doubles, $213–$238).

Just across from the Municipal House, the rock-steady Hotel Paříž is an Art Nouveau masterpiece with mod cons. Rooms vary considerably in size (222-195-195; hotel-pariz.cz; doubles, $205–$256). Nearby, the Grand Hotel Bohemia is another gorgeous old place that's been thoroughly redone—if a bit Hapsburg-ishly—by an Austrian group (234-608-111; grandhotelbohemia.cz; doubles, $192–$256).

Housed mostly in a 19th-century bank, the Carlo IV is a stately presence on Senovazne náměstí, one of Nové Město's nicest residential squares. The cigar bar stores its fine wines and rare Cognacs in old strongboxes (224-593-111; boscolohotels.com; doubles, $228–$760). Opened in March, Yasmin has a funky, retro-futuristic feel (furry orange sculptures, shining silver lamps, avocado walls), thanks to Czech designer Barbora Škorpilová (234-100-100; hotel-yasmin.cz; doubles, $278–$304).

Change is coming to the dingy hotels on Wenceslas Square. Leading the way is a former Stalinist monstrosity, the Hotel Jalta, which now hosts the post-post-post-revolutionary hip-oisie in cool beige rooms. It's kind of like being in a Bond film—an early Bond film (222-822-111; jalta.cz; doubles, $173–$237). In contrast, the Art Nouveau Hotel Evropa is a special sort of landmark. Its second-floor lobby, filled with Biedermeier furniture, has a seven-story atrium the rooms overlook. It's cheap, but think twice about checking in: It's like being in Prague when the security services had the maid spying at your keyhole (224-215-387; evropahotel.cz; doubles, $88–$136).

Finally, back again in the Malá Strana, the Residence Nosticova has ten suites in an old mansion on a quiet corner. With dudes like Depp, Brody, and Farrell among its guests, it won't be a well-kept secret for long (257-312-5136; nosticova.com; doubles, $273–$476).

Dining
On the river in Malá Strana, Hergetova Cihelná serves eclectic combos such as foie gras pizza with pear chutney. In season, dine alfresco under awnings with a view of the Charles Bridge. The upstairs lounge has great cocktails and chill-out tunes (2b Cihelná; 257-535-534; entrées, $10–$23). Up near the Castle's north gate, Lví Dvůr remains the best spot for roast suckling pig and other traditional fare (6 U Prašného mostu; 224-372-361; entrées, $13–$31). Below the Castle, on Malostranské náměstí, is the postmodern Square (257-532-109; entrées, $12–$22). At David Restaurant, in a rustic grove just below the Castle, you'll likely be tucking into venison or striped bass, seated elbow-to-elbow with Czech politicians and sports stars—the problem will be recognizing them (21 Tržiště; 257-533-109; entrées, $10–$25).

Staré Město (Old Town) has multicultural options. Originally a simple wine bar, Divinis has the city's best vino, and has added a full menu of Italian regional dishes (23 Týnská; 224-808-318; entrées, $9–$25). Its modest neighbor, Beas, serves vegetarian Indian curries, dhal, and somosas (19 Týnská; 608-035-727; entrées, $3–$5).

Josefov's main street, Pařížská, is a polished avenue of boutiques and restaurants, like the original hip joints Pravda (No. 17; 222-326-203; entrées, $14–$26) and Barock (No. 24; 222-329-221; entrées, $18–$25). A sinful sweet-tooth stop, Cremeria Milano has an extraordinary repertoire of sorbets and gelati (No. 20).

Just east of Pařížská, Nostress is a calm refuge for an Asian/French-inflected lunch (10 Dušní; 222-317-007; entrées, $8–$20). Or if you just need a cuppa joe and to catch up on your e-mail, drop into the Wi-Fi–connected Coffee Fellows (20 Dlouhá).

In Vinohrady—the plush "vineyard" neighborhood east of Nové Město—the bustling Aromi and its Italian cuisine is a favorite of the city's large expat community (78 Mánesova; 222-713-222; entrées, $6–$50). Two up-and-comers: Lehká Hlava, literally "Clear Head" (2 Bořsov; 222-220-665; entrées, $9–$18), and Mozaika, which redefines café cooking with Thai curried mussels and a light but filling roast beef salad (13 Nitránska; 224-253-011; entrées, $8–$15).

Around Wenceslas Square, the Hotel Jalta's Hot lives up to its motto—"Where Asia meets Europe"—serving a rocking tuna roll and other sushi (45 Václavská; 222-247-240; entrées, $10–$40). Noodles, in the hotel Yasmin, imports special pasta from Mongolia and serves Indonesian, Thai, Korean, Japanese, Swiss, and Czech versions (12 Politických vězňů; 234-100-110; entrées, $6–$12). The renewed 19th-century beer hall U Pinkasů was the first in town to serve Pilsner Urquell, the original pilsner. Today it taps a special, unpasteurized Urquell, which goes perfectly with the hearty pork and beef roasts (16 Jungmannovo náměstí; 221-111-150; entrées, $6–$15). In the labyrinthine arcade inside the Havel family's Lucerna Palace is the ultra-friendly café Kávovarna (81 štěpánská; entrées, $5–$12). Just off the north end of the square, Cafe-Cafe has a scene that's a little bit glitzier than that of some of its tourist-jammed neighbors (10 Rytířská; 224-210-597; entrées, $10–$17).

Reading
Two noteworthy titles to add to must-reads by Kafka and Kundera: Letters to Olga, written by Václav Havel during his longest incarceration (June 1979 through September 1982), encompasses the 144 letters he wrote to his wife. Witty, sad, trenchant, and scrupulously moral, they afford a detailed picture of one man's resistance to totalitarianism (out-of-print). Recently reissued, Karel Čapek's The Absolute at Large, written in 1921, is a quintessential Czech satire, in which an inventor accidentally releases God into the world by means of a nuclear reaction, with hilarious results (Bison Books, $17).

Rough Guide's Prague, updated in February 2006, has particularly useful history and phrasebook sections, an awesome book list, and handy maps ($18). But for a truly brilliant guide to Prague's incomparably beautiful buildings, search for Erhard Gorys's Czech and Slovak Republics—a guidebook from the Pallas series that is so inspiring you'll be planning side trips by the dozen (out-of-print). And for an up-to-date review of the very active nightlife in Prague, as well as shopping, see the Insider Guide to Prague at concierge.com.