In Istanbul we chose the other side of the Golden Horn--lively Beyoglu. It's more modern (that term being relative, in that modern means sometime after the 13th c.) and definitely more European in feel. Some of the early settlers were Roman Catholic Genovese traders, who were trying to steer clear of the Eastern Orthodox church. (They're responsible for the tower that dominates that peninsula.) After the Ottoman conquest, Beyoglu became the home of European ambassadors and such, and the merchants with foreign roots wanted to be near their embassies, so this "side across" became quite prosperous and genteel. Later, other non-Muslim groups drifted over from the older Istanbul as well--Greeks, Armenians, and Jews all made their homes here in the 18th and 19th centuries. As a result, Beyoglu looks and feels very European; there were many times I felt I could just as easily have been walking around Paris (but with hills). Buskers and street vendors abound (you're never far from a simit or roasted chestnuts).
Our apartment was along the back side of the Galatasaray Lisesi (high school), whose elaborate gates dominate the peak of Istiklal Caddesi, the 24/7 throbbing main artery of Beyoglu that runs from the charming Galata end up to bustling Taksim.
Istiklal and its side streets are lined with first floor shops, cafes, restaurants, banks, etc; in short, everything you would need; and on the upper floors are flats (or in some cases, on Istiklal itself, probably offices). In the narrow streets behind the Çiçek Pasaji you will find a small market with fresh seafood, meat, spice and produce stalls lining the way. We shopped here for dinners sometimes. I chose this neighborhood--as opposed to the area closer to some of the major historic and tourist attractions--because it would have good options for dining and we'd be close to home in the evening.
At the Galata end you'll find a street full of music shops (Galip Dede) and another lined with electrical shops. This kind of organizations makes an urban dweller's life easy: you need a lamp, you go to that street; you need a faucet, you go to the street with all the plumbing supply shops. You want antiques or second-hand furniture and chatchkes, you go to Cukurcuma behind the Galatasaray Lisesi.
Attractions on this side include the Pera Museum and the Mevlevi Lodge, where, on the right day, you may be able to get into see the dervishes do their thing--and this is the only REAL dervish session in Istanbul, the others are not really religious in nature. There's also a small and informative Jewish Museum near the Karaköy end of the Tünel.
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