Not sure if this is right answer but Praia da Luz and Aldeia de Luz (the village of Luz) are, to my best recollection, effectively one and the same place. Praia is the beach area of course and the 'Aldeia' the old village a couple of hundred yards away from the rocky end of the beach and about double that from the sandy bit. The whole area is built up and there is quite possibility a tourist development called 'Aldeia da Luz) somewhere in there.

A Google search did not help as I found all manner of Aldeais de/da Luz but none in the Algarve!

Having said that, there are at least two other places called 'Luz' down here.

A recipe for possible confusion I think. I hope someone comes along with a better answer than mine!

thankyou, yes this answeres my query