Monte Palace Abandoned Hotel

Perched on the edge of a dormant volcano, surrounded by dense vegetation, a ridiculously gigantic building crumbles in on itself.

Anyone visiting the Miradouro da Vista do Rei viewpoint on the island of São Miguel can't help but notice this enormous and eerie concrete structure. It is the once magnificent 5-star Monte Palace Hotel.

Built into the hillside to take advantage of the views of the Atlantic Ocean and the colorful lakes, the hotel had the potential to attract many visitors and be a resounding success.

It boasted five floors with 88 rooms, including a presidential suite, four deluxe suites, four double rooms with sitting areas, 27 double rooms, and 52 suites.

The hotel featured two restaurants: Dona Amélia Grill and Dom Carlos Restaurant. The restaurants were elegantly furnished with silverware, crystal glasses, and embroidered napkins.

In addition, the hotel offered a bar, three conference rooms, a games room, a hair salon, a bank, a basement nightclub, and several boutiques. With over 100 employees working daily, the Monte Palace was a symbol of luxury, incorporating many imported materials.

Unfortunately, the mountaintop hotel closed on November 26, 1990, just 18 months after opening. It was a rather sad end. On the same day that the Monte Palace's director received the Hotel of the Year award in Lisbon, the staff in São Miguel learned that the five-star hotel would be closing within a week.

For 20 years after the closure, a security guard and his dogs were stationed there daily to prevent vandalism. But in 2011, the guard was no longer paid and left. And that was the beginning of the end.

Locals began stealing everything from the abandoned hotel, even the elevator! Now, only the concrete walls, the roof, and the floor remain.

How did it all begin?

In 1977, the Azores Tourism and Hotel Industry (IATH), backed by French and Belgian shareholders, began investing in the Azores. They planned to build two luxury hotels on the island of São Miguel: the Monte Palace in Sete Cidades, nestled in the mountains, and the Bahia Palace in Água d'Alto, right on the beach.

After years of delays, the first of the two five-star hotels—the Bahia Palace—opened in 1984. However, it proved difficult to turn a profit. It closed and reopened several times. Finally, on April 15, 1989, both hotels opened, burdened with a debt of 12 million escudos (approximately €60,000). The hotels faced considerable criticism, loans, and debt.

To prevent collapse, an external investor had to be found, and so new management began with ESTA (Estoril Sol and TAP Air Portugal). They managed to secure government assistance in the form of repayable grants for repairs. The Bahia Palace is still open today, even though it's a 4-star hotel. Unfortunately, the Monte Palace doesn't have the same story.

I certainly enjoyed strolling around there.Læs mere