In December, 2007, We visited Serpa, a delightful walled restored city situated 30km east of Beja.
We had booked at the Casa de Muralha which has a great website. Unfortunately, we had a poor reception by the staff and the bedroom door lock was broken on the inside. We were informed that as it was Saturday afternoon nothing could be done about it. To be honest, the place also looked a bit tacky.
Consequently, we left pdq and ended up at Pensão Residencial Beatriz, Largo do Salvador, 10, which was clean, comfortable and central.
However, the next morning we also visited another Pension, Casa da Serpa, which was absolutely lovely inside. We shall probably stay there next time.
Finally, a good restaurant is the Molhó Bico on Rua Quente 1. (Closed Wednesdays.) Excellent local fare at good prices.
Also look for the couple of local produce shops. Great Fig Jam among other things.
Have a look at Casa de Artesanato, Rua dos Cavalos nº 33, is a great shop for local handicrafts and some antiques