Hotel Madeira

Hotel Madeira is the best-value central base on this list: a small, friendly three-star hotel on Rua Ivens, a quiet street right in the middle of Funchal, a minute from the Jardim Municipal and a few minutes from the marina. It has fifty-two rooms in a simple, comfortable style, with ongoing updates, and its best feature is up top: an outdoor pool on the fifth floor with sun loungers, a panoramic terrace and a bar, where you can swim with views over the rooftops towards the hills. Breakfast is a buffet and is included in the room rate, the reception team is known for personal service, and there are a few extras that you rarely find at this price, including a billiard room, a small library corner and digital keys on your phone. The cathedral, the CR7 Museum, Blandy’s Wine Lodge, the seafront and the old town are all a short walk away, which makes it ideal for travellers who want to spend money on tours rather than on the room.

Location and getting around: Rua Ivens is a minute from the Jardim Municipal and the Avenida Arriaga, so you are in the historic centre with shops, cafés and restaurants on the doorstep. The Arcadas de São Francisco shopping arcade is next door, the marina and Praça do Município are a few minutes on foot, and the old town and the Monte cable car station are about fifteen minutes away. The hop-on hop-off buses start on nearby Avenida do Mar, and many tours pick up in the centre. The airport is around twenty minutes by car; the hotel offers a paid shuttle.

The rooms: simple and practical, with air conditioning, tea and coffee facilities and private bathrooms. Some have more dated décor than others, while refurbished rooms feel fresher, so ask for one when booking. Rooms facing the inner side are usually the quietest.

Who it suits: budget-minded couples, solo travellers and friends who want to walk everywhere in Funchal and use the island’s tours for excursions. It is less suited to anyone looking for resort facilities or a spa.

Good to know: the pool is open in the daytime, roughly from morning to early evening. Parking is not offered on site, so use a public car park nearby if you hire a car. Breakfast is included, and the terrace bar is a pleasant spot for an evening drink.