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2 of the Best Boutique Hotels in Madeira

Handpicked by JO&SO

These are our boutique hotel picks in Madeira — a subtropical island in the Atlantic — known for its dramatic cliffs, lush gardens, and ocean-view escapes.

The best boutique hotels in Madeira handpicked by JO&SO.

Right in the middle of the Atlantic, the Madeira archipelago is a haven of natural beauty — a place made for slow travel, where mountain trails meet black-sand beaches and historic seaside towns glow golden at sunset.

Within the archipelago, Madeira Island offers an incredible sense of variety — from Funchal, its lively capital known for grand old-world hotels and botanical gardens, to Ponta do Sol, a colourful coastal village that’s become a creative hideaway for artists and sun-seekers.

Browse and filter boutique hotels in Madeira by area, type, or perks — or explore them all on the map.

Belmond Reid’s Palace
Belmond Reid’s Palace
Belmond Reid’s Palace
Belmond Reid’s Palace
Belmond Reid’s Palace — view hotel
Visited by JO&SO
Watchlist

Belmond Reid’s Palace - Boutique Hotel in Madeira

Belmond Reid's Palace is a timeless five-star hotel perched atop a rocky cliff in Funchal, overlooking the beautiful deep blue sea. The hotel offers luxurious rooms and suites, various dining options, three swimming pools, a spa, and tennis courts. Hosting illustrious guests such as Winston Churchill, this hotel is perfect for those seeking a classic five-star hotel in Funchal.

32.638340
-16.933210
1905 Zino's Palace
1905 Zino's Palace
1905 Zino's Palace
1905 Zino's Palace
1905 Zino's Palace — view hotel
Visited by JO&SO
Watchlist

1905 Zino's Palace - Boutique Hotel in Madeira

1905 Zino's Palace is a boutique hotel in Ponta do Sol set in a vivid pink building, formerly the summer residence of the noble Zino family. The hotel has been refurbished to combine its heritage with modern comfort, featuring sumptuous modernist furnishings, nine pastel-coloured bedrooms, and a small but eye-catching pink swimming pool.

32.681160
-17.093990
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Questions we get asked about boutique hotels in Madeira

Known as the Island of Eternal Spring, Madeira blends dramatic cliffs, lush levada trails and a deep blue sea — plus the world-famous fortified wine. It’s a year-round destination for nature lovers.

Funchal, the capital of Madeira, is ideal for first-time visitors, with plenty of restaurants and local life. For a slower pace, head to Ponta do Sol or the wild north coast of the island.

Currently our top picks for boutique hotels in Madeira are Reid’s Palace – the island’s legendary five-star grande dame perched above Funchal Bay and 1905 Zino’s Palace – a colourful Art Deco hotel with ocean views in Ponta do Sol.

The New Year's celebrations in Funchal offer a vibrant atmosphere, featuring a spectacular fireworks display, lively street parties, rooftop gatherings, boat cruises, and festive dinners. Staying at one of the best boutique hotels in Madeira ensures an unforgettable experience during this festive season. Families from across Portugal and beyond flock to Funchal, immersing themselves in the festivities. The mesmerising fireworks, music, and joyful atmosphere create an unforgettable way to welcome the new year.

Yes – both of the boutique hotels we feature in Madeira have wellness areas. Reid’s Palace has a world-class spa and heated pools, while 1905 Zino’s Palace offers spa treatment with ocean views.

Hike a levada through the Laurissilva forest, ride the cable car to Monte, zoom down in a wicker toboggan, sip Madeira wine, and take a boat trip to see dolphins. For sandy beaches, hop on a ferry to Porto Santo Island.

Madeira is beautiful all year. Spring (March–May) brings the Flower Festival; summer means long levada walks; autumn (September–October) offers warm seas; and winter features one of Europe’s best New Year fireworks displays.

To explore beyond Funchal and reach levada trails, a car helps — though the roads are steep. If you stay in Funchal and take guided tours, you can manage without.

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