“Istanbul, the big old blowsy babushka of the Bosphorus: I love it!” So says Gabby Malpas, an IT project manager who frequents Istanbul to troll its bustling bazaars, including the labyrinthine Grand Bazaar where a network of ancient alleys shelters 4,000 market stalls displaying everything from silver and gold to carpets and tiles, silk and leather.

Home to more than 10 million residents, Istanbul is made up of 32 districts that radiate from the city center encompassing acreage on both the European and Asian shores of the Bosphorus, a 20-mile-long strait that connects the Sea of Marmara with the Black Sea. The closer you get to the city’s nucleus, the denser the layering of antiquity and modernity, not to mention humanity and traffic jams. Whether in a spice bazaar or a 5-star hotel, this sensation of straddling history’s epochs can seem as acute for a first-time visitor as for a lifelong Istanbul aficionado. Anything you see might be 15 centuries — or 15 minutes — old.

Turkey’s most populous city has long been its cultural and financial center and remained so even after Ankara became the country’s political capital in 1923. By 2005, Istanbul had a gross domestic product of $133 billion, outranking many prominent world capitals. As the country’s industrial center, it employs approximately 20 percent of Turkey’s industrial workforce, with some 35 percent of the nation’s manufacturing plants located in or around the city. Thirty-six percent of exports and 40 percent of imports pass through Istanbul, the country’s chief seaport. Overall, Istanbul accounts for up to 40 percent of national production and about the same percentage of jobs. As the financial capital, the Istanbul Stock Exchange is the sole securities market of Turkey. Similarly, the headquarters of most private banks are located in Istanbul. In 2006, more than 23 million tourists visited Turkey, most entering through the airports and seaports of Istanbul and Antalya. In this huge industry, Istanbul itself is one of the country’s most important visitor drawing cards, with numerous 5- and 4-star hotels making it a popular conference destination and cruise ship port of call.

LODGING

ERESIN CROWN HOTEL

Billed as a “boutique museum hotel,” the compact and friendly Eresin Crown is indeed part hotel and part museum. Historic works of art and columns from the Roman, Hellenistic and Byzantine eras (unearthed during construction) grace the lobby. A modest 5-star property, the hotel is superbly located in Sultanahmet, the most renowned historical area of Istanbul. Guestrooms and suites have parquet flooring and Jacuzzi bathtubs. The Terrace Restaurant boasts views of the Blue Mosque’s minarets, the Bosphorus and the Marmara Sea.$$$$
ERESIN CROWN HOTEL
Kucukayasofya Caddesi 40, Sultanahmet
tel 90 212 638 4428
http://www.eresincrown.com.tr

SUMAHAN ON THE WATER

In the 19th century, this building, situated reach-out-and-touch-it distance from the Bosphorus, was a processing facility for alcoholic beverages. Today it has been re-created as a 20-room designer hotel. It’s not in the center of the city, but the hotel runs a complimentary launch (or there’s a ferry) to take you there in about 15 minutes. Most guestrooms have fireplaces, many have their own hammams; there’s a restaurant on the premises, and the guestrooms offer high-speed Internet access, but what you’re really staying here for is the peace and comfort — and the exceptional water view.$$$$
SUMAHAN ON THE WATER
Kuleli Caddesi 51, Çengelköy
tel 90 216 422 8000
http://www.sumahan.com

SWISSÔTEL THE BOSPHORUS

It’s a 15-minute walk from this 600-room hilltop hotel to Nisantas, the city’s main shopping district, but that distance from downtown gives you a stay in an efficient, quiet space surrounded by 65 acres of beautifully manicured gardens — once the gardens of the Ottoman Dolmabahçe palace. Among guestroom choices are Swiss Business Executive rooms, which offer high-speed Internet access (for a fee), in-room espresso makers, butler service, complimentary suit pressing and access to the 24-hour Swiss Executive Lounge. In addition to a full-service spa — equipped with a Turkish hammam, naturally — there are 11 bars and restaurants on the premises and extensive ballroom and meeting facilities. $$$$
SWISSÔTEL THE BOSPHORUS
Bayildim Caddesi 2, Maçka
tel 90 212 326 1100
http://www.swissotel.com

DINING

BLUE HOUSE

Situated in a restored Ottoman mansion in the center of Sultanahmet, the Blue House comprises three distinct venues — Sera, Bahce and Marmara Terrace. Collectively, they are tourist-oriented but the dining experience here is fun and a good value. The Blue House specialty is Turkish and Ottoman cuisine. Depending upon the season, you might encounter live music or experience the evening light show that illuminates the nearby Blue Mosque. The menu features a roster of traditional main courses — juicy lamb chops, fresh, grilled fish and delightful Turkish desserts.$$$
BLUE HOUSE
Dalbasty Sokak 14, Sultanahmet
tel 90 212 638 9010
http://www.bluehouse.com.tr

HACI ABDULLAH

Tracing its history to 1888, this comfortable spot is a constant in a city that evolves with each passing minute. The fare is Ottoman Turkish home cooking, if you will, authentic enough to make even the locals nostalgic for grandma’s kitchen. Specialties include lamb shank stew, elbasan tava — boneless lamb in a cheese sauce — and keflkül, an almond-flavored custard. $$-$$$
HACI ABDULLAH
Aga Camii Yani Caddesi Sakizagaci 17, Beyoglu
tel 90 212 293 8561
http://www.haciabdullah.com.tr

ALTIN KUPA

Altin Kupa offers a historic dining experience, literally. This former domestic residence in the center of Sultanahmet is some 200 years old, and for a quarter of a century it has been a family-run restaurant offering a combination of traditional Ottoman cuisine and modern European dishes. The menu has daily variations. Try the mezze, a sampling that may include fresh mackerel, grilled octopus, and vine leaves rolled with meat and rice. Calamari, chicken stuffed with pistachios and lamb kebabs are among the other popular menu items. Request a seat on the terrace to enjoy a view of the Blue Mosque.$$
ALTIN KUPA
Sultanahmet Yerebatan Caddesi 6
tel 90 212 519 4770

INFO TO GO

Istanbul Ataturk Airport (IST) is located 17 miles from downtown Istanbul. The fastest, most efficient way into the city is by light rail, which connects the airport with Akflaray in about 30 minutes and costs a little more than $1. A taxi to the city center costs about $20. Dolmus (shared taxis) are also available. Airport shuttle buses operated by Havas will get you downtown in about an hour depending on traffic. The fare is about $5.

DIVERSIONS

Begin your day in Turkey’s most glorious — sometimes notorious — city savoring a thick, rich Turkish coffee in Sultanahmet, where the Sultan Ahmet Mosque (also known as the Blue Mosque) towers over a square packed with cafes, carpet shops, bazaars, samovars and boutique hotels — even a pair of 4,000-year-old Egyptian obelisks.

Nearby is the massive, equally dramatic, but much older Haghia Sophia (also known as Ayasofya or Sancta Sophia). Dating to 537 A.D., Haghia Sophia was once considered the holiest church in Christendom. It also was the largest church in the world (today it’s No. 4) until it was converted to a mosque in 1453. Today it serves as a museum and is inscribed on the UNESCO World Heritage site list.

To enjoy a water view of Istanbul, hop on a ferry at Galata Bridge and cruise the Bosphorus. The nautical freeway that bisects the city is lined with Belle Epoque mansions (known as yali), mosques, Byzantine churches and the occasional palace.

Back on dry land, head north over the Galata Bridge to Karakoy where you will cross the fabled inlet of the Golden Horn. Before you is the first — or last — ridge of the European continent. Behind you are the hills of Istanbul studded with seven great mosques and their towering minarets. In the distance, the shore of the Asian continent bristles with telecommunication and microwave towers, the minarets of our more recent devotions. Another interesting way to get around town: the funicular that links Taksim and Kabataç. Opened in June 2006 as part of a long-range scheme to ease Istanbul’s traffic congestion, the two cars on the system hold 375 passengers each and make the one-way trip in just 110 seconds.

Prince’s Islands

5-1⁄2 miles from Istanbul in the Marmara Sea, are the one-time dumping grounds for disgraced Byzantine princes. Buyukada is the largest and most beautiful of this nine-island group. Its tranquility is underscored by the absence of cars: Bicycles and horsedrawn carriages are the preferred modes of transportation. Still, some modern conveniences have slipped into the scene. You might witness a local resident in a horse-drawn wagon clopping past the elaborate wooden mansions of yesteryear with a cell phone clamped to his ear. Since the mid-19th century Buyukada has been a favored summer retreat for Istanbul’s leisure classes. The elegant yali mansions of earlier generations are now being restored, but the influx of new money and weekend daytrippers packing the fish restaurants has not furrowed the island’s calm brow.

For shopping and nightlife, head to Taksim, Beyoglu and Pera. The main drag through this area is Istiklal Caddesi, a pedestrian walkway that connects three squares — Tunel, Galatasaray and Taksim.