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Edit EZKA I TILO EINE TREE 3 PORTUA I PUERTO PORT 4 . Roskos / KIOSKO I BANDSTAND 5 In the Middle Ages the arenales ( sandy areas ) , formed by the Estuary after the bend occupied by Bilbao , were used as the emplacement for the shipyards . But from the beginning of the 16th century onwards , this space began to dry out and little by little , the naval industry gave way to woodland and avenues . El Arenal became a park , " the most delightful thing about the place and to whence many people gather " . El Arenal became the favourite promenade of the Bilbainos . There , gentlemen crossed paths with middle - class shopkeepers and office clerks , and ever - watchful priests with nannies , keeping an eye on children and the soldiers who went there to court them ... In 1817 the first theatre was built in El Arenal , which was substituted in 1834 by the Teatro de la Villa designed by Juan Bautista de Escondrillas . This building was affected by the bombings of 1874. In 1886-1890 the present theatre , devised by Joaquin Rucoba was built . It was renamed the Arriaga Theatre in honour of the Bilbao composer . ara nunch Built on the plot of land formerly occupied by the San Nicolás Inn , the most important one in the Villa , the head office of the Bank of Bilbao , the financial institution created by the Bilbao merchant middle class to support their trading activity , it was the work of Eugene Lavallé and was constructed between 1862 and 1866 . The Arenal lime tree was planted in 1816 and was a reforence point for all Bilbainos until a storm blew it down in 1948 . Although El Arenal was a public park , the area closest to the Estuary did not abandon port activities altogether until well into the 20th century The Arenal bandstand has undergone changes , but continues to cany out its original purpose . which is to hold concerts by the Bilbao Municipal Band and the Band of Txistularis ( traditional Basque flautists with percussion accompaniment ) . For many people from Bilbeo the church of San Nicolds is only the background for their promenades . But its little - known Interior contains magnificent altarpieces and sculptures by Juan Pascual de Mena . Taken as a whole . It is an excellent example of full Bizkaia baroque spaseos . ejemplo DG de Austere and functional in appearance , the Gómez de Le Tone Mansion ( 1789-1791 ) was one of the first neoclassical civil buildings in Bizkaia . be In the 19th century the Calle Viuda de Epalza became the final expansion of the Old Quarter It was lined with austere mansions for the wealthiest Bulbainos , such as Casilda Nurzar , viuda ( widow ) of the banker Tomas José Epalza whose name was given to the street ne del paiza .