A short drive separates two distinctive Madeira luxury stays. One sits on the site of a former sugar cane mill transformed into a tranquil retreat overlooking the Atlantic. The other is a grand hotel in the heart of Funchal, where afternoon tea, marble interiors, and modern comforts set the tone.
Over five nights, my husband and I experienced two very different expressions of Savoy Signature, the Madeiran hospitality brand behind both properties and host of our stay. We started by unwinding at Saccharum before moving to Savoy Palace for classic grand hotel luxury. While quite different, together they offered two compelling visions of what a luxury stay in Madeira can be.
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Saccharum: Madeira’s Sugar Cane-Inspired Retreat
Saccharum sits in Calheta, on the island’s south coast. While there’s an obvious connection to the sea while you’re here, it also doesn’t try to hide what it used to be.
This was a sugar cane processing site. The gallery space, 1425, marks the year sugar cane first arrived on Madeira. The signature restaurant, Alambique, is named for the pot used in distillation. The eighth floor is Trapiche, after the crushing mill itself. The interiors were designed by internationally acclaimed Madeiran designer Nini Andrade Silva, and the result is a zen haven with nods throughout to its former life.
Gastronomy is where the sugar mill concept turns into more of a Madeiran sustainability story. The hotel runs its own nearby farm and keeps a small garden on-site, with the goal of bringing as much local produce as possible onto the plate.
Dinner at Alambique on our first night was a fish-forward tasting menu, built around skipjack, parrotfish, and grouper, with produce grown in that garden. I tried chayote squash for the first time there, which felt about right for a hotel this committed to growing what it serves.
The best meal of the stay was a Fire Pit dinner at Calhau Beach Club. We were seated close enough to the waves to see crabs scuttling across the rocks at dusk while we waited for tiger prawns and lamb skewers to come off the grill, sizzling nearby.
The chef came by wearing a tall hat that earned him the nickname “Ratatouille” among the staff. He summed it up better than I could: “Good people, the fire, the sea, that’s what makes food taste this good.”
Saccharum sets the pace for a slower kind of Madeira escape. Everything on the property reinforces it, from a couple’s massage built around pure relaxation to the eighth-floor infinity pool, voted best hotel pool in Portugal by readers of Travel MAGG. I can’t argue with them there.
This is a stay-put hotel. Aside from a visit to Engenhos da Calheta, a family-run rum distillery within walking distance, the appeal for us was the slower pace of the south coast itself, quiet beaches, and a more relaxed rhythm than the bustle of Funchal.
Savoy Palace: Urban Luxury, Full Volume
When we checked into the Savoy Palace in Funchal, the mood shifted. Where Saccharum feels hushed, Savoy Palace embraces a louder, grand hotel luxury. After we left, we learned it was named the No. 1 resort in Spain and Portugal in the Travel + Leisure World’s Best Awards 2026, and that didn’t come as a surprise.
The current hotel stands on the site of the former Savoy, a landmark Funchal hotel that welcomed travelers to Madeira for generations. The architecture today is unmistakably contemporary, but subtle nods to the original remain, including the Galáxia rooftop, which takes its name from the nightclub that once occupied the same spot.
Our bay-view suite overlooked Funchal’s harbor, where we were treated to an unexpected fireworks display one evening, a reminder that the city itself is never far from what you’re experiencing here.
While our treatment at Saccharum focused on pure relaxation, here we opted for deep tissue massages before lingering in Laurea Spa, among the largest hotel spas in Europe. We somehow had much of the sprawling wellness area almost entirely to ourselves, taking turns in the sauna, steam room, and heated pool.
The gastronomy here feels different, too. It’s less about a single sustainability narrative and more about sheer range. Breakfast is served buffet-style across two restaurants, poolside lunches at Alameda elevate casual classics like tuna steak sandwiches and prawn burgers, while Pau de Lume celebrates Portuguese cuisine with live music.
Dinner at Terreiro proved that even the homemade bread, served with sundried tomato butter, deserved a moment. Afternoon tea, complete with delicate finger sandwiches, pastries, and exclusive tea blends, felt delightfully indulgent.
And unlike Saccharum, Savoy Palace is a launchpad for exploring Madeira’s capital.
Within minutes, you’re wandering the painted doors of Rua de Santa Maria, strolling the marina, or riding the cable car toward Monte Palace’s lush gardens. (The toboggan ride down afterward is a novelty best done once, though, more for the story than the experience itself.) The hotel’s sister property, Royal Savoy, also offers direct sea access just a short walk away.
One excursion that shouldn’t be missed if you can tear yourself away from the spa is Blandy’s Wine Lodge. Still family-owned after generations, it remains one of the best places to understand Madeira wine. Our tasting ended with what our guide playfully called a “baby vintage,” a younger wine that showed a very different side of a style famous for its ability to age for decades.
The Best of Both Madeiras
Experiencing Madeira from two different approaches allowed us to experience the island’s two personalities. The quieter south coast and the energy of Funchal are close enough to combine in one trip, offering two completely different rhythms of travel.
Saccharum delivers the Madeira of slow mornings, ocean views, and long meals where the hardest decision of the day might be whether to dine by the fire pit or beside the pool. Savoy Palace offers something more dynamic, where an afternoon tea can lead to an evening wandering Funchal’s old town.
And if neither feels quite like your style, Savoy Signature has other options too, from the classic Royal Savoy next door to the more playful energy of the NEXT Hotel. The island has range when it comes to Madeira luxury, and your itinerary can, too.
