Tavares Restaurant gained even more prominence starting in 1861 when Vicente Caldeira took over its management. During that time, the restaurant underwent a renovation, blending the styles of the Belle Époque and Art Nouveau. It was a gathering place for the Lisbon aristocracy and is said to have been the meeting spot for a well-known group of Portuguese intellectuals, the "Vencidos da Vida" (The Defeated of Life), which included writers such as Eça de Queirós, Ramalho Ortigão, and Guerra Junqueiro.

Over the years, it witnessed the transformations of Lisbon and was the place where, in 1980, Francisco Sá-Carneiro, the Prime Minister of Portugal, had lunch on the day of his death in a mysterious aviation accident. In 2008, chef José Avillez joined Tavares, and the following year, it was awarded a Michelin star. However, it temporarily closed for renovation, and there is no set reopening date yet.