One of charms of Europe are its remnants of mediaeval old towns,preserved to greater or less extent in cities like Bruges, Prague etc. Gamla Stan in Stockholm is up there with them, made all the more pleasant by its compactness (less than a square mile), absence of traffic and centrality. This is where you will find some of the nicest squares and priciest restaurants, as well as the imposing presence of the Kungliga Slottet (royal palace) and Storkyrkan (great chuch).