The 5 Best Luxury Hotels in Funchal

From the Savoy Palace to the Belmond Reid’s Palace Madeira: the finest luxury addresses in Funchal, hand-picked by our travel experts. Every suitespot booking comes with free breakfast for 2, a room upgrade subject to availability, hotel credit and VIP service – benefits worth over €500.

5Luxury hotels
from 140 €per night
1Hotel brands
5 luxury hotels in Funchal, Portugal

The top hotels in Funchal at a glance

From legendary grand hotels to intimate design addresses: these properties lead our ranking for Funchal. See at a glance where each hotel is located, which loyalty program earns you points and where nightly rates begin. "From" prices are current entry rates and may include limited-time promotional rates.

HotelLocationHotel programsuitespot scorePrice from
Savoy Palace FunchalSão MartinhoLeaders Club★ 4.8/5180 €
Belmond Reid’s Palace MadeiraSão Martinho★ 4.8/5400 €
Casa Velha do Palheiro FunchalSao Goncalo★ 4.5/5140 €
The Reserve FunchalStadtmitteLeaders Club★ 4.3/5730 €
Quinta Da Casa Branca FunchalSão Martinho★ 4.0/5240 €

Your guide to exceptional hotels in Funchal

Welcome to Funchal, a city where dramatic cliffs meet the shimmering Atlantic and lush botanical gardens create a subtropical paradise. The luxury hotels in Funchal reflect this unique charm, offering everything from historic, cliff-top palaces to sleek, contemporary resorts.Savoy Palace FunchalSavoy Palace Funchal · São MartinhoBooking with suitespot elevates your stay beyond the ordinary. Imagine beginning each day with a complimentary breakfast, enjoying a potential complimentary upgrade to a superior room, and receiving true VIP treatment throughout your visit. Our guests also benefit from early check-in & late check-out upon availability, a 100 USD hotel credit per stay, and the ability to earn regular points & status benefits with hotel loyalty programs.

Explore our curated collection and find the perfect setting for your Madeiran adventure.
Your Luxury Guide

Funchal, the vibrant capital of Portugal's Madeira archipelago, is a destination of timeless appeal and natural splendor. This stunning harbor city offers a perfect blend of historic charm, cosmopolitan energy, and breathtaking landscapes, making it a premier choice for discerning travelers seeking the finest luxury accommodations in Funchal.

The city's hotel landscape is defined by elegance and exclusivity. You'll find legendary properties like the Belmond Reid’s Palace Madeira, an iconic institution perched on a cliff with over a century of history, offering classic grandeur and unparalleled sea views. For those who prefer modern sophistication, the Savoy Palace Funchal presents a bold, contemporary design with expansive pools, a world-class spa, and commanding views over the city and ocean. These properties represent the pinnacle of 5-star hotels in Funchal.

Luxury travelers are drawn to Funchal for its year-round mild climate, exquisite cuisine, and the seamless blend of relaxation and adventure. Whether you are indulging in a spa treatment, exploring the charming Old Town, or embarking on a scenic levada walk, Funchal’s premium hotels provide the perfect, opulent base for an unforgettable escape. Discover more about where to stay in the following sections.

What makes Funchal the perfect luxury destination?

Insider tips for your stay

🌴 Funchal Tip: While the city is known for its grand coastal resorts, consider a stay at a more intimate property for a different kind of luxury. The previously mentioned grand hotels are superb, but for a truly tranquil experience, a boutique hotel offers a unique charm.Belmond Reid’s Palace MadeiraBelmond Reid’s Palace Madeira · São MartinhoFor instance, Quinta Da Casa Branca Funchal is set within a lush botanical garden, providing a serene oasis away from the main tourist areas. This member of Small Luxury Hotels of the World offers a distinctive experience focused on privacy and personalized service. It’s an ideal choice for travelers looking to immerse themselves in nature without sacrificing five-star comfort. A stay here perfectly complements the list of the best hotels in Funchal by offering a peaceful alternative.Personal luxury travel adviceOur travel advisors personally accompany your booking – 365 days a year, from the first offer to late check-out. Reach the suitespot VIP service via email or WhatsApp.Phone: +49 30 81452346 · hotel@suitespot.comAsk via WhatsAppWrite an emailConsider these varied options as you plan your itinerary, which we'll explore further below.

Top attractions near your luxury accommodation

Funchal is a city rich with sights that are easily accessible from its premium accommodations. A must-see is the historic Zona Velha (Old Town), where narrow cobblestone streets are lined with vibrant restaurants and the famous Painted Doors art project. From here, you can take the Funchal Cable Car up to the village of Monte, offering breathtaking panoramic views of the bay and access to the stunning Monte Palace Tropical Garden.Casa Velha do Palheiro FunchalCasa Velha do Palheiro Funchal · Sao GoncaloFor a touch of local culture and history, visit the Mercado dos Lavradores, a bustling market filled with exotic flowers, tropical fruits, and fresh seafood. Football enthusiasts will not want to miss the CR7 Museum, dedicated to Madeira's most famous son, Cristiano Ronaldo. The city’s luxury hotels are perfectly positioned to allow for effortless exploration of these captivating landmarks.

Top areas for luxury travelers

São Martinho (Cliffside Elegance)

This prestigious area is defined by its dramatic cliff-top setting and historic grandeur. It's the location of choice for travelers seeking tranquility, impeccable service, and breathtaking, uninterrupted views of the Atlantic Ocean. This district is home to one of Funchal's most legendary properties.

The iconic Belmond Reid’s Palace Madeira, introduced earlier, resides here, epitomizing timeless luxury. Guests choose this area for:

  • Unparalleled sea views and privacy.
  • Proximity to lush gardens and scenic viewpoints.
  • An atmosphere of classic, old-world glamour.

São Martinho (Lido Promenade)

This vibrant, modern section of São Martinho is centered around the popular Lido promenade, offering a fantastic selection of restaurants, bars, and direct sea access via lidos. It's perfect for travelers who enjoy a lively atmosphere combined with contemporary luxury and extensive resort amenities.

Here you will find the magnificent Savoy Palace Funchal, a landmark of modern design and sophistication. This area is ideal for:

  • Easy access to seaside walks and swimming complexes.
  • A wide variety of dining and entertainment options.
  • State-of-the-art hotel facilities and expansive pool areas.

The Garden District

Nestled in a quieter, more residential part of Funchal, this area is characterized by its lush private estates and beautiful botanical gardens. It offers a peaceful retreat from the city's hustle and bustle, appealing to those seeking boutique luxury, discretion, and a connection with nature.

A prime example is the exquisite Quinta Da Casa Branca Funchal, a stylish boutique hotel set within its own verdant gardens. Travelers are drawn here for:

  • A serene, oasis-like atmosphere.
  • Personalized service and intimate surroundings.
  • The unique experience of staying within a botanical paradise.

Gastronomy and culinary experiences

Funchal's culinary scene is a delight, focusing on fresh, locally sourced ingredients. A must-try local specialty is Espetada, succulent beef skewers grilled over an open fire, often served in traditional restaurants in the hills above the city. The proximity to the Atlantic means seafood is exceptional, particularly the black scabbardfish (espada), a local delicacy.The Reserve FunchalThe Reserve Funchal · StadtmitteFor fine dining, many of the city's top restaurants are found within its luxury hotels. The Michelin-starred William Restaurant at the Belmond Reid’s Palace Madeira offers an unforgettable gastronomic experience with ocean views. Throughout the city, especially in the Old Town and Lido area, you'll find a fantastic array of restaurants, from rustic tascas serving Madeira wine to sophisticated eateries offering international cuisine.

Wellness & perfect relaxation in Funchal

Funchal is a premier destination for wellness, and its luxury hotels in Funchal are home to some of the most sophisticated spas in Portugal. These serene sanctuaries are designed for ultimate rejuvenation, blending modern techniques with natural, local ingredients.

A standout example is the Laurea Spa at the Savoy Palace Funchal, one of the largest and most impressive in Europe. This tranquil oasis offers an extensive hydrotherapy circuit, a stunning indoor pool, Himalayan salt room, and a wide array of signature treatments. Whether you seek a restorative massage after a day of hiking or simply wish to unwind by a peaceful poolside, the wellness facilities at Funchal’s top hotels provide a perfect escape. The focus on well-being is a key part of the luxury experience here, a theme we touch on again in our guide to local experiences.

Exclusive experiences and premium services

Beyond the exceptional comfort of its hotels, Funchal offers a wealth of exclusive experiences tailored for the luxury traveler. Charter a private yacht for a day to explore the stunning coastline, spot dolphins and whales, and swim in secluded coves. This is an unparalleled way to appreciate Madeira's dramatic beauty from the water.Personal luxury travel adviceOur travel advisors personally accompany your booking – 365 days a year, from the first offer to late check-out. Reach the suitespot VIP service via email or WhatsApp.Phone: +49 30 81452346 · hotel@suitespot.comAsk via WhatsAppWrite an emailOn land, arrange a private guided tour of a prestigious Madeira wine lodge, complete with a tasting of rare and vintage wines. For the active traveler, a bespoke guided hike along the famous levadas (irrigation channels) can be arranged, taking you through lush laurel forests to hidden waterfalls, far from the usual tourist trails. The concierge services at the best 5-star hotels in Funchal can assist in curating these unforgettable local adventures.

Suites & family options in Funchal

For anniversaries, wedding nights or simply more space: these properties in Funchal offer their own suite categories. Our travel advisors know them in detail and will put together the right category for your occasion.

HotelSuite categories (selection)Largest suite
Savoy Palace FunchalBay Suite, Ocean Suite, Suite
Belmond Reid’s Palace MadeiraAtlantica Suite, Presidential Suite, Winston Churchill SuiteAtlantica Suite · 80 m²
Casa Velha do Palheiro FunchalGolf Wing Senior Suite, Main House SuiteGolf Wing Senior Suite · 57 m²
The Reserve FunchalCorner Pool Suite, Corner Suite, Deluxe Suite
Quinta Da Casa Branca FunchalDeluxe Suite, The Manor House SuiteDeluxe Suite · 110 m²

More space for families is available in Funchal at Savoy Palace Funchal, Belmond Reid’s Palace Madeira, among others – ask our travel advisors about connecting rooms and family categories.

Insider tip from our travel advisors

Our highest-ranked property in Funchal is the Belmond Reid’s Palace Madeira in São Martinho. One highlight is the Atlantica Suite (80 m²) – one of the city's most special addresses.

Earn points & use your status in Funchal

suitespot rates are genuine direct rates: you keep earning regular points and elite nights in the hotel's loyalty program and retain your status benefits – on top of your suitespot benefits. These programs are represented in Funchal:

ProgramHotelsExamples in Funchal
Leaders Club2 hotelsSavoy Palace Funchal, The Reserve Funchal

Frequently asked questions about luxury hotels in Funchal

What are the best 5-star hotels in Funchal for a romantic getaway?

For romance, Funchal offers exceptional choices. The Belmond Reid’s Palace Madeira is an iconic option, offering timeless elegance, cliffside dining, and historic charm. For a more intimate and private experience, Quinta Da Casa Branca Funchal provides a serene retreat set within beautiful gardens, perfect for couples seeking tranquility.

In addition to the hotel's romantic atmosphere, booking with suitespot adds exclusive benefits like a 100 USD hotel credit, perfect for a romantic dinner, and a potential complimentary room upgrade.

Which luxury hotels in Funchal offer the best spa facilities?

When it comes to world-class wellness, the Savoy Palace Funchal stands out. Its Laurea Spa is one of the largest in Europe, featuring an extensive hydrotherapy circuit, sauna, steam room, Himalayan salt room, and a stunning indoor pool. It’s the ultimate destination for rejuvenation and one of the best luxury accommodations in Funchal for spa lovers.

While you enjoy these incredible hotel amenities, remember that suitespot guests also receive VIP treatment and other exclusive perks to make their wellness retreat even more special.

Are there family-friendly luxury hotels in Funchal?

Absolutely. The Savoy Palace Funchal is an excellent choice for families seeking a 5-star hotel in Funchal. It features multiple swimming pools, including a dedicated children's pool, and offers spacious rooms and suites. Its wide range of facilities ensures that both adults and younger guests are entertained and comfortable throughout their stay.

These hotel amenities provide a wonderful foundation for a family holiday, which is further enhanced by suitespot benefits like complimentary daily breakfast for a great start to the day.

What are the general benefits of booking the best hotels in Funchal through suitespot?

Booking any of our curated luxury hotels in Funchal through suitespot unlocks a suite of exclusive, complimentary benefits that are not available with other booking methods. These advantages are designed to enhance your entire stay.

Regardless of the hotel you choose, you will receive:

  • Complimentary daily breakfast
  • A 100 USD property credit per stay
  • Room upgrades upon availability
  • Early check-in and late check-out upon availability
  • VIP treatment and status
  • The ability to earn regular hotel points and status benefits

Eager to experience luxury travel the suitespot way? Our luxury travel advisors offer the suitespot VIP service 365 days a year and are happy to help. Contact us via email at hotel@suitespot.com or WhatsApp: +49 30 81452346

Personal luxury travel adviceOur travel advisors personally accompany your booking – 365 days a year, from the first offer to late check-out. Reach the suitespot VIP service via email or WhatsApp.Phone: +49 30 81452346 · hotel@suitespot.comAsk via WhatsAppWrite an email
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