Brussels has none of the imposing city-centre neighbourhoods that you find in many European capitals: take a few blind turns away from the tourist kitsch of the Grand Place and you'll find yourself in a world of ramshackle alleyways, and boarded-up 17th-century buildings with trees rooted in the guttering.

But bad news for historic preservation is good news for artists, dancers and creative spirits searching for low rent and cheap living.

Long the heart of Brussels's gay scene, Saint Jacques is a micro neighbourhood less than 10 (insalubrious) minutes' walk from Gare du Midi, where the Eurostar terminates. The blocks north of rue du Lombard are still strung with rainbow flags, but follow rue du Marché au Charbon 100m further south and you'll find a new neighbourhood that has grown up around the city's art and design crowd.

So small that it's virtually a road junction, and so discreet that you could live years in the city without knowing it was there, it's for the kind of people who would never dream of going somewhere fashionable, because trying hard is so horribly tacky. With such easy access to Gare du Midi, it's becoming the stealth address for photographers and fashion designers who need a calm bolthole in between journeys to London or Paris.

The streets around here are some of the oldest in Brussels, with many dating back to the 14th century. The rue du Jardin des Olives, first recorded in 1358, was named for the biblically inspired garden of a pious local resident.

The drinking heart of the area is the little pedestrian strip beside the church of Notre Dame d'Assistance. The cafes on either side are packed with outdoor tables. This is a proper city-centre neighbourhood - anyone on a pavement table will dedicate some energy to bobbing up and down to embrace passing friends.

Le Fontainas

Le Fontainas doesn't sell 100 different beers, or display Brussels "nostalgiabilia" above the bar, but it does apparently have shares in a mint farm, or perhaps just a well-stocked rooftop herb garden. By day the place is aromatic with fresh mint tea, and by night the bar staff warm up their biceps grinding leaves with sugar for mojitos. The art deco glass front gives way to a sleek modernised interior, but you'd barely notice, since the all action in this corner cafe takes place out on the street. Here, tables are populated by dancers, designers and artists who live nearby. No one would ever dress up to come here; they look that good all the time.

· 91 rue du Marché au Charbon (0032 2503 3112)

Au Soleil

While Le Fontainas is for people who may have signed a pact with the devil to keep their white shoes permanently box fresh, Au Soleil is the bar for people not ashamed to scruff about in their greying Converse. They play good music here - it's a popular bar for musicians and DJs - but people really come to sit outside and watch the world go by. The street drinkers come up and ask you for money, and by handing over some cash you get to feel sober by comparison. Of course you don't only come here for the surprisingly strong Duvel beer - it's open all day for coffee and spaghetti bolognese.

· 86 rue du Marché au Charbon (+2512 3430)

La Cantina

For many years La Cantina was a tiny Brazilian cafe in an upstairs room. Perhaps when it became a proper restaurant the owners worried that it might lose some of its atmosphere so they crammed in as much decoration as they could and squeezed tables into every centimetre of space. As a result it still feels as though you're a guest at a Rio wedding - people talk across tables, the menu is basic, the drinks generous and the bill joyously reasonable.

· 13-15 rue Jardin des Olives (+2513 4276. Closed Sundays)

Privé Joke

Until recently most of the stores in Saint Jacques sold carnival novelties and orthopaedic footwear. Privé Joke is the hidden treasure - full of beautifully selected, reasonably priced clothes from small French, Dutch and Scandinavian labels. Between the men's section at the back, and the women's section at the front, there is a new micro shop dedicated to Le Fabuleux Marcel de Bruxelles. Marcel is French slang for a singlet, and this magnificent label was started last year by a group of friends who wanted to create the best vest available to mankind (or at least anyone who has ever dreamt of looking like Jean Reno). The range includes Le Camioneur, a trucker-style string vest, and L'Emmanuelle, a dress inspired by the cult soft-porn flick.

· 76/78 rue du Marché au Charbon (+2502 6367, fabuleuxmarcel.be)

Veals and Geeks

Feeling nostalgic for the 1980s Game & Watch series of pre-Game Boy handheld computer games? So is Stan, owner of Veals and Geeks. His shop stocks retro versions of Donkey Kong and Mario alongside limited edition vinyl, CDs and DVDs. The shop shares space with a gallery for young artists who share Stan's sensibility, including designers from the cult French record label Ed Bangers.

· 8a Rue des Grands Carmes (+2511 4014, vealsandgeeks.com)

Girls From Omsk at Fresh Kicks

Valéria Siniouchkina says she designs for "voluptuous sluts" as well as "skinny bitches". The hoodies and hotpants of her bright, bratty label Girls From Omsk are inspired by fond memories of the 1980s, imaginary journeys from Brazil to Siberia and the art party scene. You can buy her clothes at Fresh Kicks, which also sells limited-edition trainers.

· 23 rue du Lombard (girlsfromomsk.be)